Sustainable Development and ESG Approaches in the Transformation of Regional Economic Systems

Eleonora Zabarna; Nina Petrukha; Serhii Petrukha; Olha Smyrna; Olena Nieizviestna; Andrii Bozhkov

doi:10.33152/jmphss-10.3.4

Authors

Eleonora Zabarna Institute of Artificial Intelligence and Robotics, National University ”Odesa Polytechnic”, Odesa, Ukraine
Nina Petrukha Department of Management in Construction, Kyiv National University of Construction and Architecture, Kyiv, Ukraine
Serhii Petrukha Department of Transport and Logistics, West Ukrainian National University, Ternopil, Ukraine
Olha Smyrna Institute of Economics and Business Education, State University of Economics and Technology, Kryvyi Rih, Ukraine
Olena Nieizviestna Institute of Economics and Business Education, State University of Economics and Technology, Kryvyi Rih, Ukraine
Andrii Bozhkov Department of International Cooperation, Interregional Academy of Personnel Management, Kyiv, Ukraine

DOI:

https://doi.org/10.33152/jmphss-10.3.4

Keywords:

sustainable regional development, digital transformation, ESG, regional economy, green transition

Abstract

The article examines how sustainable development principles and ESG approaches reshape the logic of regional economic policy under increasing environmental, social and institutional pressures. It is argued that, for regional economic systems, ESG should be interpreted not merely as a corporate reporting framework but as an applied analytical model of spatial transformation that combines environmental modernization, social resilience, governance quality and investment-innovation capacity. The aim of the study is to develop an analytical model for assessing the ESG maturity of regions and to identify the practical directions for its use in regional policy. The methodology combines systems, institutional and indicator-based approaches together with analysis and synthesis, comparison, indicator normalization, multicriteria assessment, typology and matrix modelling. As a result, the paper proposes the structure of an integrated regional ESG transformation index, systematizes data sources for its calculation, develops a typology of regional economic systems and formulates a matrix of regional ESG solutions. The findings show that the practical value of ESG lies in its ability to connect strategic development goals with investment instruments, governance procedures and performance monitoring. The article concludes that the effectiveness of ESG transformation depends not on the number of separate programmes but on the consistency of the environmental, social, governance and investment blocks as well as on the quality of regional statistics and the institutional capacity of public authorities.

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