The workshop brought together 206 participants, including representatives from Ministries of Finance responsible for corporate and public sector legislation in financial and sustainability reporting. Executive staff and board members of public audit oversight authorities, senior officials and policymakers responsible for state-owned enterprise management, representatives of professional accounting organizations, and academia also attended.

The main objective of the workshop was to promote and inform participating countries’ efforts to implement sustainability reporting reforms in the corporate and public sectors.

The workshop explored how countries can support companies to reduce administrative burdens and increase quality as they transition from voluntary to mandatory sustainability reporting frameworks. Serbia’s experience of introducing environmental, social, and governance non-financial reporting in 2019 and the intention to gradually transition to European Sustainability Reporting Standards provided a valuable example. The International Finance Corporation is supporting Serbia’s Ministry of Finance to develop voluntary guidelines that incorporate the main features of the European standards, offering a reasonable interim solution before full adoption.

Georgia’s experience in providing incentives to improve the quality of non-financial reporting through the Best Annual Report Transparency Award (BARTA) was also discussed. The Service for Accounting Reporting and Auditing Supervision of Georgia supports the BARTA award, encouraging companies to adopt and maintain robust non-financial reporting practices.

Digital transformation in corporate reporting is not just about technology; it also involves people and institutions, including governments leveraging innovation to expand opportunities in using financial and sustainability data to inform decisions at various levels. Greece’s experience demonstrated how sustainability reporting can be digitalized and integrated into a business register, following EU requirements. An integrated reporting tool for entities makes sustainability data accessible to all interested parties in Greece and accelerates compliance with new legal provisions.

Updating university and professional curricula to include sustainability reporting and assurance is crucial to equip the accounting and auditing profession with the necessary skills and competencies. Representatives from the Association of Chartered Certified Accountants, Chartered Institute of Public Finance and Accountancy, University of Bamberg, Germany, and Bocconi University, Italy, provided valuable practical examples and insights on integrating sustainability reporting and the use of artificial intelligence.

Small and medium-sized entities (SMEs) need streamlined processes and guidelines to meet sustainability reporting requirements effectively. A proportional approach is necessary to accommodate the diverse capacities of SMEs. Training and guidance can help SMEs apply appropriate sustainability reporting practices. Accountancy Europe enriched the workshop with a presentation outlining SME sustainability reporting drivers and explaining how accountants can help SMEs identify key drivers, gather necessary data, calculate metrics, and contribute to the reporting process.

The potential impact of the Omnibus Directive on national economies and the accounting profession was a significant point of discussion. Participants agreed that sustainability reporting is a crucial tool for informing decisions on mitigating risks related to climate change, social, and governance issues. By providing comprehensive data and insights, sustainability reporting enables institutions to identify and address potential threats. Through detailed analysis and transparent communication, organizations can develop strategies to manage these risks effectively, ensuring long-term resilience and compliance with evolving standards.

Participants emphasized the importance of raising awareness among local key actors involved in the corporate sustainability reporting ecosystem. The sustainability dimension, including environmental, climate, and social factors, supports all pillars of a sound corporate reporting ecosystem. This includes a strong legal framework, appropriate enforcement mechanisms, timely updates to curricula and standards, and ethical requirements to support the profession and public availability of audited information for decision-making.

Policymakers from participating countries expressed their commitment to introducing mandatory sustainability reporting requirements in line with the updated EU acquis once available. Immediate efforts should focus on developing country action plans, supported by the EAASURE regional project in several participating countries to keep all parties informed and prepared for the sustainability reform.

CFRR and key stakeholders from participating countries will continue working together to contribute to a greener world on a livable planet.

Participants reflected on the workshop’s potential impact on their countries, noting that the insights gained would help them develop and implement effective sustainability reporting frameworks. Overall feedback from participants was positive, appreciating the comprehensive coverage of topics and the opportunity to learn from European and international good practices and the possibility to interacting with their peers from the region.