In the dynamic arena of global commerce, businesses are increasingly under scrutiny not just for their profitability but also for their impact on society and the environment.
This shift in perspective is reshaping consumer preferences and regulatory landscapes worldwide, compelling nations like Sri Lanka to prioritise the recognition and certification of Inclusive and Sustainable Businesses (ISBs). To navigate this evolving landscape effectively, there is an urgent need for a national-level, Government-backed accreditation system that certifies and validates ISBs.
The National Strategy to Promote Inclusive and Sustainable Businesses to achieve the Sustainable Development Goals (SDGs), recently approved by the Cabinet of Ministers, underscores the importance of supporting access to sustainability and inclusivity credentials for ISBs.
The global business landscape is witnessing a remarkable transformation driven by heightened awareness of sustainability and inclusivity. Consumers, armed with information and a growing sense of responsibility, are making conscious choices, thereby favouring products and services from companies that demonstrate a commitment to positive social and environmental causes.
Consequently, businesses that embrace inclusive practices and sustainability initiatives are not only earning consumer trust but also gaining a competitive edge in the market. For Sri Lanka, a nation with a rich tapestry of culture and natural resources, nurturing ISBs is not just a moral imperative but also a strategic necessity.
A robust accreditation system, supported by the Government, would play a pivotal role in distinguishing credible ISBs from those engaging in mere greenwashing or superficial social responsibility efforts. By providing a stamp of authenticity, such accreditation would instil confidence in consumers, investors, and partners, thereby fostering growth and stability within the local economy.
Moreover, in an interconnected global economy, where supply chains stretch across continents, the need for standardised accreditation becomes even more apparent. Sri Lankan businesses seeking to access international markets must adhere to increasingly stringent sustainability standards and ethical benchmarks set by trading partners and governing bodies, including but not limited to the European Union’s Corporate Sustainability Reporting Directive (CSRD).
Without credible accreditation, these businesses risk being marginalised or excluded from lucrative export opportunities.
A Government-backed accreditation system would also serve as a catalyst for innovation and excellence within the local business community. By incentivising companies to adopt sustainable practices and embrace inclusivity, such a system would drive positive change across sectors, leading to long-term economic resilience and prosperity.
The urgency of accrediting ISBs is underscored by the pressing challenges facing the world today, including climate change, social inequality, and economic disparities. As consumers become more discerning and regulatory frameworks evolve to address these issues, businesses that fail to adapt run the risk of being left behind.
Sri Lanka cannot afford to lag in this regard; it must seize the opportunity to position itself as a hub for ethical and sustainable commerce. Accreditation of ISBs is not just about meeting external expectations; it is also about fostering a culture of corporate responsibility and accountability within the country.
By holding businesses to rigorous standards of transparency and performance, accreditation empowers consumers to make informed choices and encourages companies to uphold their social and environmental obligations.
The establishment of a national-level, Government-backed accreditation system for ISBs is not just desirable but imperative for Sri Lanka’s economic progress and global competitiveness. By recognising and certifying businesses that prioritise inclusivity and sustainability, such a system would not only enhance consumer trust and market penetration but also drive positive societal and environmental outcomes.
In this era of conscious consumerism and responsible capitalism, Sri Lanka has a unique opportunity to lead by example and carve a niche for itself as a beacon of ethical business practices in the global arena.
With this imperative in mind, the Sustainable Development Council of Sri Lanka (SDC) recently convened an inaugural dialogue among a diverse array of stakeholders, including the Sri Lanka Accreditation Board (SLAB), Industrial Development Board (IDB), National Enterprise Development Authority (NEDA), Department of Development Finance, and Central Bank of Sri Lanka (CBSL).
The dialogue also saw the participation of key commercial chambers and industry bodies such as the Ceylon Chamber of Commerce (CCC), Women’s Chamber of Industry and Commerce (WCIC), European Chamber of Commerce of Sri Lanka (ECCSL), UN Global Compact Network Sri Lanka (UNGC), Good Life X, and Good Market.
The purpose of this dialogue was to explore the national, regional, and international inclusive business verification/accreditation systems currently in place and to assess opportunities to further develop inclusive business accreditation in Sri Lanka to formally recognise inclusive business models.
This collaborative effort signifies a crucial step toward laying the foundation for a robust accreditation system that will not only certify and recognise ISBs but also foster a culture of ethical and responsible entrepreneurship in Sri Lanka.
(The writers represent the Sustainable Development Council of Sri Lanka)