Bridging ESG Practices and Sustainable Development Goals through Accounting and Finance: A Semantic Literature Review

Abstract

Purpose: The growing emphasis on Environmental, Social, and Governance (ESG) practices has significantly transformed the role of accounting and finance in achieving sustainable development. Organizations are increasingly expected to create long-term value by integrating financial performance with environmental stewardship and social responsibility. However, existing studies remain fragmented across various theoretical perspectives and implementation contexts. This study aims to synthesize current knowledge regarding the integration of ESG into accounting and finance practices and its contribution to the Sustainable Development Goals (SDGs).

Design/methodology/approach: This research employs a Semantic Literature Review (SLR) approach by analyzing scholarly publications indexed in reputable academic databases. Semantic analysis is used to identify dominant concepts, thematic relationships, emerging research trends, and knowledge gaps related to ESG reporting, sustainable finance, corporate accountability, integrated reporting, and SDG implementation.

Findings: The review identifies five major themes: (1) ESG disclosure and financial performance, (2) sustainable finance and investment decisions, (3) integrated reporting and corporate value creation, (4) stakeholder accountability and governance, and (5) digital transformation supporting sustainability reporting. The findings indicate that ESG has evolved from a voluntary reporting mechanism into a strategic accounting framework that enhances organizational resilience and long-term competitiveness while supporting SDG achievement.

Practical Implications: The findings offer practical implications for policymakers, regulators, and business organizations in developing sustainability-oriented accounting practices, including guidance for corporate managers building integrated reports and for regulators designing clearer sustainability disclosure rules.

Originality/value: This study contributes to the accounting literature by providing a comprehensive conceptual framework connecting ESG practices, sustainable finance, and SDGs, addressing the current fragmentation of research across separate theoretical and practical streams.

Paper Type: Review Paper