Fully Integrated Sustainability Policies – Still Limited to a Portion of Companies
Fully Integrated Sustainability Policies – Still Limited to a Portion of Companies
A global BDO study shows that while companies worldwide increasingly recognise the importance of sustainability, full integration, data management and long-term investment remain key challenges — including in Latvia.
“Sustainable development is no longer merely a matter of reputation – it has become a core element of business competitiveness.”
Vita Liberte, Attorney-at-Law, Managing Partner, BDO Latvia
Across global business environments, sustainability has shifted from a trend to a strategic necessity. Although awareness among Latvian companies is growing rapidly, fully integrated sustainability management remains characteristic of only a portion of organisations. This is confirmed by the BDO global sustainability study “From strategy to spend: the state of sustainability in business”, which highlights significant differences in maturity levels across regions.
Key Global Insights from the Study
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In Latin America and the Caribbean, companies are actively developing sustainability programmes but face complex regulatory environments and resource constraints.
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In the Asia–Pacific region, high costs and limited investment availability are the primary barriers, while large companies struggle most with extensive ESG data collection and management.
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In Europe, only one quarter of businesses operate with a fully integrated sustainability programme, with new regulatory requirements — including CSRD and European Sustainability Reporting Standards — contributing to increased complexity.
Trends in Latvia
Latvia has committed to achieving climate neutrality by 2050, yet progress in emission reduction has been uneven. The newly adopted Climate Resilience and Economic Sustainability Law marks a significant step in strengthening national climate policy, but companies’ practical readiness varies widely.
For Latvian businesses, the priorities today include:
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building robust sustainability data collection and analytics systems,
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integrating sustainability principles into core business processes, not just reporting,
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linking sustainability to cost efficiency, innovation and risk management,
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preparing for increasing regulatory expectations and investor requirements.
Progress in these areas will help companies strengthen resilience, enhance competitiveness and fully capitalise on the opportunities sustainability can offer.