INTEGRATION OF ESG REPORTING AND AUDITING: MODERN APPROACHES AND STANDARDS

Abstract

This article examines the role of ESG reporting within the corporate reporting system and analyzes the challenges related to the integration of ESG reporting and auditing. The study employs methods of analysis, synthesis, and comparative evaluation to assess the theoretical and practical aspects of ESG audits. Limitations of traditional financial audit methods in addressing non-financial information are highlighted, emphasizing the need for methodological adjustments to provide sufficient assurance for ESG indicators. International standards, including ISSB and GRI, are analyzed regarding audit assurance, materiality principles, and stakeholder-oriented reporting.
The current state of ESG reporting and auditing in Ukraine is assessed, revealing early-stage implementation, fragmented practices, and a shortage of specialists with interdisciplinary competencies. The study identifies key directions for improvement, including the convergence of reporting and audit standards, the application of digital tools to enhance data objectivity, and the transformation of auditor training programs. Research demonstrates that effective integration of ESG reporting and auditing is essential for enhancing transparency, reliability, and investor trust, thereby supporting corporate resilience and Ukraine’s post-war recovery. Finally, exploring the impact of digital technologies on audit quality is proposed as a priority for further research, ensuring the development of a robust, globally aligned ESG audit framework.