Introduction
Mnakh for Studies and Research has launched the first sustainability index designed to measure the sustainability performance of companies listed on Boursa Kuwait.
The initiative aims to evaluate corporate performance according to environmental, social, and governance standards and represents an important step toward strengthening sustainable business practices in the Kuwaiti market.
The index is intended to support the global transition toward responsible investment and sustainable economic development while aligning with the objectives of Kuwait Vision 2035.
The Mnakh Sustainability Index provides a data‑driven framework to evaluate ESG performance among companies listed on Boursa Kuwait.
Sustainability and Global Market Trends
According to Mnakh, the launch of a sustainability index in Kuwait reflects global trends toward building greener and more inclusive economies.
International financial markets increasingly view sustainability as a driver of innovation and competitiveness rather than simply an ethical obligation. Companies are therefore expected to adopt transparent reporting practices that integrate environmental, social, and governance standards into their business strategies.
Such practices help investors make informed decisions and strengthen confidence in financial markets.
Regulatory Developments in Kuwait
The launch of the index also coincides with evolving regulatory expectations in Kuwait.
The Capital Markets Authority has issued guidance requiring companies listed on the Premier Market of Boursa Kuwait to disclose sustainability reports on an annual basis.
This initiative aims to strengthen transparency, fairness, and competitiveness while encouraging companies to adopt international best practices.
Under these guidelines, companies listed in the Premier Market will be required to prepare sustainability reports covering the year 2025, with mandatory disclosure beginning in 2026.
Methodology and Technology
The Mnakh Sustainability Index applies artificial intelligence technologies to analyze corporate sustainability reports and evaluate companies’ performance across environmental, social, and governance criteria.
The methodology is based on internationally recognized standards and includes both primary and secondary indicators.
Sector‑specific weighting is applied to reflect the different risks, challenges, and operational realities faced by companies across industries.
Companies are classified across twelve rating categories ranging from AAA+ to D.
2023 Sustainability Index Results
The results of the 2023 sustainability index indicate that many Kuwaiti companies have begun aligning with the fundamental requirements of sustainability.
Within the banking sector, the National Bank of Kuwait ranked first with a score of 79.60 points, achieving an A+ rating.
In the telecommunications sector, Zain ranked first with a score of 78.90 points and an A+ rating.
Boursa Kuwait led the financial services sector with a score of 81.90 points, receiving an AA rating.
In the real estate sector, Mabanee Company ranked first with 77.7 points and an A+ rating.
Agility achieved the highest overall score in the industrial sector with 83.25 points and an AA rating, making it the highest‑ranked company in Kuwait.
In the consumer sector, Jazeera Airways ranked first with a score of 72.63 points and an A rating.
Performance Across ESG Dimensions
At the level of environmental, social, and governance pillars, several companies demonstrated strong performance.
Zain achieved the highest environmental performance score with 87.5 points, reflecting its strong commitment to sustainable environmental practices.
In the social dimension, the National Bank of Kuwait, Agility, and Boursa Kuwait shared the top position with scores of 83 points, reflecting the strength of their community initiatives and human capital programs.
Within the governance pillar, Kuwait Finance House ranked first with a score of 84 points, highlighting the strength of its governance systems and institutional transparency.
The index aims to stimulate positive competition among companies and accelerate the transition toward a more sustainable economy.
Role of the Index in Market Development
The results demonstrate that many Kuwaiti companies are increasingly integrating sustainability principles into their operational and investment decisions.
This progress confirms that environmental, social, and governance standards are becoming a core component of corporate growth strategies and long‑term competitiveness.
Beyond serving as an evaluation tool, the Mnakh Sustainability Index aims to encourage positive competition among listed companies.
By providing a unified, data‑driven framework for assessing sustainability performance, the index supports continuous improvement and encourages companies to strengthen their ESG practices.
Ultimately, the index seeks to promote responsible business practices and accelerate the transition toward a more sustainable and resilient economy in Kuwait.