posted on 2025-02-20, 21:01authored byRichard Barker, Peter Easton, Robert Eccles, Christian Leuz, Shiva Rajgopal
Traditional financial accounting plays a critical role in valuation, performance evaluation, debt contracts, and investment decisions. Experts discuss whether sustainability data can serve similar functions, identifying challenges in measurement, standardization, and investor relevance. They emphasize the need for reliable ESG reporting and debate its economic impact. While sustainability information is increasingly significant, its integration into financial analysis remains complex and evolving.