Global experience and institutional conditions for the introduction of ESG practices

ESG principles, which include environmental, social and management standards with the aim of achieving long-term sustainability, are becoming integral elements of the management strategy of modern companies. This trend has received a significant impetus in recent years, primarily due to the actualisation of the tasks of achieving the Sustainable Development Goals, the changing expectations of society, and the aggravation of socially significant problems in society. Based on the analysis of available statistical data and global practice, it is shown that the relevance of integrating ESG-principles into the practice of corporate governance is growing every year. More and more companies have ESG programmes. It was revealed that the European Union countries have become world leaders in the development and integration of ESG-principles into the practice of corporate governance. Integration of ESG-principles into the management process requires the creation of certain institutional conditions, and reporting in the field of assessing the impact of ESG-principles becomes an important part of institutional regulation. In this regard, we have reviewed foreign experience of institutional regulation of ESG practices.