Adapting Businesses for a Sustainable Future – Integrating Esg Criteria and Digitalizing Financial Flows

Abstract

This paper investigates the incorporation of Environmental, Social, and Governance (ESG) criteria into business practices alongside the digitalization of financial flows as essential strategies for achieving sustainable development. The study delves into the motivations driving ESG adoption, such as regulatory mandates, stakeholder demands, and emerging market opportunities. It further examines the role of digital financial technologies in facilitating the effective implementation and continuous monitoring of ESG standards. By conducting a comparative analysis of organizations in Europe, USA, Moldova, China, the research identifies exemplary practices and common obstacles in harmonizing business strategies with ESG frameworks. The findings underscore the significance of digital tools in enhancing transparency, efficiency, and accountability within financial operations, thereby promoting the sustainable evolution of businesses. Additionally, the paper discusses policy implications and offers recommendations to cultivate an environment that supports ESG integration and fosters digital innovation in financial management. These insights provide a strategic roadmap for businesses aspiring to thrive sustainably in the future economy. DOI: https://doi.org/10.53486/cike2024.13; UDC: 005.35:504.03+004.7+004.8; JEL Classification: G21, Q56, M14