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Nine in 10 global chief executives now say the business case for sustainability is stronger than it was five years ago, and almost all plan to maintain or expand their commitments, according to a new study.

The 2025 CEO Study, published by UN Global Compact and Accenture, which surveyed more than 2,000 business leaders worldwide, reveals that 99% of companies intend to stick with or scale up sustainability measures. Additionally, fewer than 15% feel well prepared for shocks such as climate change, inflation and geopolitical instability.

The findings suggest corporate leaders have shifted decisively from seeing sustainability as a moral add-on to treating it as a commercial necessity. But the report also highlights what it calls an “execution gap” – with limited progress on technology, governance, and skills needed to meet rising expectations from regulators, consumers, and investors.

CLIMATE URGENCY

The timing is stark. 2024 was the first full calendar year to breach the Paris Agreement’s 1.5°C warming threshold. At the same time, the global financing gap for the UN’s Sustainable Development Goals has grown to $4.3 trillion annually, leaving billions in poorer countries facing the paradox of paying more in debt interest than on health or education.

Sanda Ojiambo, CEO of the UN Global Compact, said the results reflect both promise and peril: “Sustainability has moved from moral imperative to business fundamental. But unless companies embed it into strategy and culture, the risk is that promises collapse under pressure.”

Executives appear to be preparing for tighter regulation. For example, 92% called strong global governance “critical”, while 95% listed compliance as a top organisational priority. At the same time, the influence of consumers, employees, and investors is growing. Furthermore, 98% of CEOs now believe the private sector can accelerate progress through greener products and services. And 96% said they would advise successors to embed sustainability into corporate culture, signalling a generational shift in how business defines its licence to operate.

TECH SKILLS GAP

Despite broad commitment, the tools to deliver are lagging. Only 26% of companies have dedicated scenario-planning teams, and fewer than 15% feel well-prepared for major macroeconomic and sustainability challenges. Just over a quarter are actively exploring digital tools to track and measure sustainability performance across global supply chains.

Stephanie Jamison, global sustainability lead at Accenture, warned that many organisations remain at the pilot-project stage: “Business leaders know technology, data and AI are critical, yet most are still tinkering. To succeed, sustainability needs to be designed into business models, not bolted on afterwards.”

The report, released as the UN Global Compact celebrates its 25th anniversary, signals a critical moment for corporate leadership. Executives may be aligned on the commercial logic of sustainability, but without sharper skills, governance and technology, their ability to withstand the storms ahead remains in doubt.

For now, business leaders appear united on one point: the costs of inaction are becoming too high to ignore. Sustainability is no longer optional, it is a central determinant of corporate resilience and growth, concluded the report.

Click here to download the full report.

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