Nume Ekeghe and Kayode Tokede

The 2025 IPMC ESG Ratings Reporthasrevealed that Zenith Bank Plc, Stanbic IBTC Holdings Plc, and Access Holdings Plc led the Nigeria’s financial sector as strongest performer in governance maturity. 

IPMC in thereport disclosed that a framework was used to evaluate a company’s sustainability and ethical impact.

According to the report, the three banks recorded the highest levels of structured sustainability integration, board-level oversight and transparent ESG reporting, even as the sector continues to lag in key climate-risk disclosures required under IFRS S2.

“The sector demonstrates the strongest governance maturity, with near universal disclosure of board composition, risk management policies, and audit procedures. However, only 12 per cent of disclose financed emission or climate-related credit exposures, creating a major blindspot under TFCD and IFRS 52 principles. Progressive banks are beginning to adopt green lending frameworks, but without a harmonised taxonomy or verification. 

“The Financial Services sector demonstrates Nigeria’s highest ESG integration maturity, with clear evidence of governance discipline and structured sustainability reporting.  Leading Institutions such as Zenith Bank, Stanbic IBTC Holdings, and Access Holdings show measurable progress in embedding ESG principles into corporate strategy, risk oversight, and disclosure,” said the report.

The report revealed that Zenith Bank got an overall ESG score of 39 per cent with a balanced Environmental (14 per cent), Social (18 per cent and Governance (39 per cent) performance. Following was Stanbic IBTC Holdings with an overall ESG Score of 34 per cent as it showed strong alignment with the ISSB principles through sustainability-linked finance and transparent governance reporting and Access Holdings got an overall ESG Score of 32 per cent. The report said that Access Holdings integrates ESG at the enterprise level, linking it to lending criteria and customer engagement. 

The report added that banks and other financial institutions exhibit the highest governance disclosure levels among Nigerian corporates, with their board independence and audit transparency aligning closely with the guidelines of the Nigerian Exchange Limited and the Securities and Exchange Commission.

“However, financed emissions, a critical component under IFRS S2, are disclosed by only two institutions (= 12 per cent), and none have external assurance of climate-risk data. Social disclosures (employee training, customer protection, and financial inclusion) are improving. while gender diversity at senior management level remains below 25 per cent. Environmental aspects are emerging mainly through green-lending frameworks and participation in climate-finance initiatives. 

“The sector is policy-strong but evidence-light, reporting frameworks exist, but assurance and Scope 3 accounting must evolve for Nigeria’s financial sector to achieve regional parity with Kenya and South Africa, ”it said.