The Impact of New ESG Standards on Ukraine’s Financial Sector: Challenges and Opportunities

In a world where sustainability principles are becoming the baseline standard for business, the financial sector plays a key role in ensuring transparency and accountability. Banks are increasingly facing requirements to disclose ESG information — the environmental, social, and governance aspects of their operations.

The Ukrainian Path

In Ukraine, this process is only just beginning. According to the “Strategy for the Introduction of Sustainability Reporting”, by 2026 the formation of the national regulatory framework is expected to be completed, and companies will start preparing and publishing their first corporate reports in line with European standards (see Fig. 1). By 2030, full implementation of ESRS and auditing of companies’ sustainable practices is planned.

The European Context

The European Union has already introduced a comprehensive regulatory framework (CSRD, ESRS, SFDR), which provides for the gradual introduction of mandatory sustainability reporting for various categories of companies between 2024 and 2028 (see Fig. 2). In 2025, the European Commission even presented a package of legislative proposals — Omnibus — aimed at simplifying the reporting process and increasing its efficiency.

What Does This Mean for Banks and Businesses?

📌 For banks: they will need reliable and timely ESG data from clients to compile their own reports.
📌 For companies: reporting will become a condition for access to financing. Late or incomplete submissions may undermine a company’s reputation and limit opportunities for cooperation with financial institutions (see Fig. 3).

Recommendations for Preparation

• Conduct an ESG diagnostic to assess the maturity of sustainable practices.

• Develop or update internal policies in line with new requirements.

• Introduce ESG data collection systems (CO₂ emissions, social impact, etc.).

• Actively integrate green finance principles into the business model.

Why Is This Important for Ukraine?

The introduction of new ESG standards opens the door for Ukrainian companies to European markets and investments. This is not only a challenge but also an opportunity: to become part of a new economic model where financing is directly tied to business responsibility toward society and the environment.

✍️ For Global 100% RE Ukraine, this process is a strategic signal: Ukrainian business has a chance to integrate into the European financial system and strengthen its role in the global green transformation.