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Nearly 1,000 Cypriot businesses have joined a nationwide push toward sustainability, with two-thirds already certified under Environmental, Social, and Governance (ESG) standards, marking the first-year results of a collaborative interbank initiative aimed at promoting responsible business practices.
Led by Artemis Credit Bureau and utilizing the global “Synesgy” platform developed by CRIF S.p.A., the project invited 1,991 businesses to participate in a structured ESG evaluation aligned with European regulations and Global Reporting Initiative (GRI) guidelines. Of those, 958 companies registered and 710 were certified, a global high, according to Artemis officials.
“The certification rate is among the highest globally in countries where Synesgy operates,” said Dimitris Bourboulas, Artemis Credit Bureau’s Head of ESG. He credited the platform’s efficiency and the relevance of ESG incentives for the strong uptake.
According to an article by Kathimerini's Panayiotis Rougalas, certified companies span a broad spectrum of sectors, including hospitality, construction, retail, food and beverage, and livestock. Importantly, small and medium-sized enterprises (SMEs) comprised 91% of those certified, underlining growing awareness of ESG value beyond regulatory obligations.
“These businesses represent the backbone of the Cypriot economy and play a critical role in promoting sustainability throughout their value chains,” Bourboulas said.
Despite the positive engagement, findings point to significant room for improvement. ESG scores showed most companies clustered around a “C” average, particularly in environmental compliance. Only 1.5% of certified firms achieved top-tier “A” ratings in environmental standards, while the majority fell into lower categories reflecting moderate or limited compliance.
Social and governance dimensions also lagged: about 75% of companies scored low to moderate on social criteria, and just 6% demonstrated strong governance practices. Informal management structures and resource constraints, especially among SMEs, may contribute to these challenges.
Bourboulas emphasized the role of the banking sector in facilitating the ESG shift. Participating banks now use the Synesgy platform to streamline company evaluations, reduce duplicated efforts, and inform lending decisions in line with sustainable finance regulations.
“Banks are now playing a central role in driving the ESG agenda forward,” he said. “The project ensures transparency and efficiency while equipping financial institutions with tools to better assess credit risk and support sustainable growth.”
Companies completing the ESG evaluation receive a standardized certificate accepted by all Cypriot banks, along with a personalized action plan for improvement.
The first year of the initiative concluded in May 2025. Organizers say the early success signals a strong foundation for broader ESG integration across Cyprus’s business landscape.
