Speaker
Description
Abstract: The growing frequency of geopolitical disruptions and energy crises has reshaped the global economic landscape, reinforcing sustainability as a strategic imperative for resilient development. This study is based on a comparative empirical analysis of the ESG pillars ((Environmental, Social, and Governance) and macroeconomic performance, focusing on the 27 EU member states and five benchmark Asian countries (China, Japan, South Korea, India, and Singapore), over the period 2000–2025. The research aims to capture the impact of economic, social, and governance factors through proxy indicators on economic performance, measured by economic growth as a percentage of GDP and the attraction of foreign direct investment. The main results indicate a long-term positive correlation between environmental indicators and government effectiveness on economic performance and investment attraction, with sustainability no longer being an optional condition but a mandatory one. In contrast, results for the Asian region are mixed, indicating a transition from a volume-based economy to one based on value added and the consistent attraction of foreign capital. The study acknowledges the limitations arising from the use of single proxy indicators for ESG factors. However, robustness tests confirm the model’s stability alongside technical estimates, with a view to validating the results and observing differences in the integration of sustainability across the European Union and Asia. The study contributes to the literature by bridging the gap between sustainability performance and macroeconomic outcomes across continents, offering empirical insights into how ESG integration can strengthen competitiveness and long-term economic stability. Its novel comparative framework highlights sustainability as an essential precondition for structural development and global investment positioning.
Key words: ESG, foreign direct investment, economic performance, European Union, Asia
JEL classification: Q56, F21, 047, F15, O53
