CIRCULAR ECONOMY IN UKRAINE: ENVIRONMENTAL, SOCIAL AND CORPORATE GOVERNANCE (ESG) AS A TOOL FOR THE SUSTAINABILITY OF SOCIALLY RESPONSIBLE BUSINESS IN THE CONDITIONS OF OVERCOMING THE COVID-19 PANDEMIC

Abstract

The article deals with current issues of the essence and significance of ESG as a tool of the circular economy to strengthen the sustainability of socially responsible business in the context of overcoming the COVID-19 pandemic. Particular attention was paid to the report based on ESG criteria to improve the implementation of management decisions. It was emphasized that in Ukraine the ESG strategy at the enterprise level is only developing. It was noted that the intention to implement ESG practices promoted by the UN is not the prerogative of exclusively large companies, but rather organic business development, since traditional financial accounting includes only internal resources and flows and economic (and some social and environmental) consequences of activities. It was also noted that in a circular economy, those companies that cannot respond to the necessary and expected changes go out of business. The traditional orientation of reporting on the disclosure of financial indicators is a thing of the past. Today, only socially responsible companies that focus on such approaches to attract investment can succeed: human rights and inclusion, combating climate change, ensuring sustainability. It wasargued that the spread of ESG practices in the long and medium term may result in improved transparency and accountability of companies that combine high-quality traditional corporate governance with ESG factors, increasing their own investment attractiveness and creating reputational advantages for Ukraine and the business environment as a whole.