FINANCIAL STATEMENTS OF BUSINESS ENTITIES UNDER THE CONDITIONS OF SUSTAINABLE DEVELOPMENT: CURRENT TRENDS AND PROSPECTS

Abstract

The purpose of the article is to assess the current state of sustainable development reporting in world practice and identify key trends that accompany its use.

The scientific novelty of the results obtained lies in supplementing individual methodological provisions of sustainable development reporting by business entities in terms of determining the potential advantages and disadvantages of its implementation in practical activities. It was determined that the preparation of sustainable development reporting is a necessary prerequisite for achieving sustainable development goals. The key trends that accompany the processes of preparing and submitting sustainable development reporting in countries around the world were studied. The current level of implementation of sustainable development reporting in the management practice of the largest global companies was analyzed. The requirements for the transition of EU companies to the standards for preparing and submitting sustainable development reporting were studied. In this context, the norms and time priorities adopted in Ukraine to create an appropriate institutional environment were analyzed. A set of key technologies and tools that will contribute to the development of sustainable development reporting by business entities in the future has been identified.

Conclusions. The preparation of sustainable development reporting by domestic business entities is the need of the hour and a requirement of future accounting and management. The growth in the number of global companies that provide sustainable development reporting has become one of the key trends in recent years. The main advantages of sustainable development reporting are: improving the business reputation of the company and business; the ability to make more effective strategic management decisions; reducing reporting costs through consolidation and optimization of information; expanding access to capital and investments. In the European space, norms are being introduced according to which the preparation and submission of sustainable development reporting is mandatory for companies. Ukraine is gradually joining these initiatives, which will contribute to achieving sustainable development goals.