Review of global state of sustainability accounting practices

Review of global state of sustainability accounting practices This thesis examines the current global landscape of sustainability accounting practices, exploring the adoption of various frameworks and standards across regions and industries. With increasing regulatory pressure and growing stakeholder demand for transparency, sustainability accounting has become a crucial part of corporate reporting. The research identifies the most commonly used frameworks, including the Global Reporting Initiative (GRI), Sustainability Accounting Standards Board (SASB), and Task Force on Climate-related Financial Disclosures (TCFD), and investigates regional variations in their adoption. Data reveals that the Asia-Pacific region leads in sustainability reporting, with 89% of companies adopting sustainability practices, followed by Europe (82%), the Americas (74%), and the Middle East & Africa (56%). The study also addresses the key challenges companies face in integrating sustainability accounting into existing reporting systems, such as data complexity, lack of standardization, and evolving regulatory requirements. Additionally, the impact of regulatory developments, such as the European Union’s Corporate Sustainability Reporting Directive (CSRD), on global reporting practices is analyzed. Emerging trends, such as the increased focus on double materiality and climate-related financial disclosures, suggest a shift toward more comprehensive sustainability reporting in the future. This research contributes to the understanding of how sustainability accounting practices are shaping the future of corporate transparency, highlighting the need for harmonized global standards to improve consistency and comparability across industries.