Sustainability reporting and environmental, social, and governance (ESG) assurance in Nigeria: A conceptual review

Purpose: This study examines the state of sustainability reporting and Environmental, Social, and Governance (ESG) assurance in Nigeria. It explores the institutional drivers, regulatory developments, challenges, and emerging trends influencing the adoption and implementation of sustainability reporting and ESG assurance practices among Nigerian organizations. Methodology: The study adopts a conceptual review approach, drawing evidence from existing literature, regulatory frameworks, professional reports, and empirical studies on sustainability reporting and ESG assurance in Nigeria and comparable emerging economies. Relevant theoretical and institutional perspectives were reviewed to provide insights into current practices and developments. Results and Conclusion: The study reveals that sustainability reporting and ESG assurance are gaining traction among listed companies and organizations operating in highly regulated sectors. The growing demand for transparency, accountability, and responsible corporate behavior has contributed to increased ESG disclosures. However, the adoption of ESG assurance remains constrained by inadequate professional expertise, weak regulatory enforcement, inconsistent reporting frameworks, and the high cost of assurance services. The study concludes that although progress has been made, significant gaps remain in achieving credible and comparable sustainability disclosures across industries. Findings: The findings suggest the need for stronger regulatory coordination, enhanced institutional capacity, professional training, and the development of standardized sustainability reporting and ESG assurance frameworks. These measures will improve the credibility of ESG disclosures, strengthen stakeholder confidence, and support sustainable corporate development in Nigeria.