Innovative Financial Economic Stimulation Tools For ESG-Transformation of a Company: opportunities for application and specifics of regulation

Abstract

Objective: The search for ways to transition to a business model of sustainable development is a cutting-edge trend in the global economy. This movement has its own national features concerning the application and regulation of ESG principles. World practice has already revealed a clear relationship between the application of sustainable development principles and the growth of company profitability and its long-term prospects.  Method: The study relies on systemic and complex approaches in combination with a set of general and special scientific methods.  Results: The paper considers all possible solutions as a source of financial resources, including green bonds, lending with regard to the borrower's compliance with ESG principles, and green crowdfunding. Particular attention is paid to the process of developing and regulating the taxonomy of projects and financial instruments.  Conclusions: Popularization of the benefits of the concept of sustainable development among all market participants will eventually yield the result of improved business competitiveness.