The report examines how Bulgarian companies disclose information about their sustainability performance. The study was prepared by a team from the Green Centre and the Bulgarian Stock Exchange, together with advisers including Prof. Daniela Bobeva, Assoc. Prof. Marina Stefanova, Prof. Virginia Zhelyazkova and others. It covers nearly 150 Bulgarian entities, including 16 banks, 26 state-owned enterprises, 78 public companies and 29 energy companies.



Key Findings

ESG reporting in Bulgaria is entering a more structured stage of development.

A gradual shift can be observed from formal compliance with regulatory requirements towards the establishment of ESG policies, governance mechanisms and disclosure systems. The report shows that sustainable corporate conduct is becoming increasingly embedded in the practices of different sectors of the Bulgarian economy.

Large banks demonstrate a consistent integration of ESG policies, state-owned enterprises show a high level of social disclosure, and public companies have established corporate governance practices. The energy sector is making early but promising progress in sustainable planning.

Assoc. Prof. Dr Manyu Moravenov, Chair of the Green Centre and Chief Executive Officer of the Bulgarian Stock Exchange, opened the annual ESG report presentation by stating:

“For the second consecutive year, the Green Centre and its team of advisers and experts have been working to outline the current ESG landscape of Bulgarian business. We continue to fulfil our mission as a sustainability think tank by producing practical knowledge, analyses and guidance that support companies as they adapt to the new requirements. We believe that, by sharing good practices and promoting transparency, we can become a genuine driver of progress in ESG reporting in Bulgaria.”

During the event, Prof. Virginia Zhelyazkova noted that ESG and sustainability have long been closely linked to Europe’s strategic development, supporting the continent’s competitiveness and strategic autonomy.

“The work we are carrying out through this Green Centre report serves a broader purpose: to provide clarity about the stage Bulgarian businesses have reached, the extent to which they understand the current realities, and the areas in which improvements are needed,” Prof. Zhelyazkova added.

Assoc. Prof. Marina Stefanova of Sofia University highlighted the importance of sustainability. According to her, businesses are already recognising the benefits of collecting and disclosing data.

“Companies from different sectors are realising that, if they want to establish new positions in global supply chains and retain as much added value as possible, this cannot be achieved without high-quality data,” Stefanova said.

Among public companies, 55% disclose ESG information in response to regulatory requirements, while 36% are taking voluntary steps towards greater ESG transparency. A further 17% already have a clearly defined ESG strategy.

In the energy sector, the report highlights decarbonisation, the energy transition, energy security, and investment in new technologies and infrastructure. Large enterprises account for 69% of the energy companies surveyed, 48% have adopted climate, energy or environmental policies, and 41% provide partial disclosure of specific environmental targets and quantitative indicators. This represents an important sign of a shift from declarative commitments towards more measurable ESG reporting.

State-owned enterprises are gradually developing a culture of ESG reporting and transparency, although the level of progress varies between sectors. Their average ESG disclosure score is 44.53%.

“The social pillar is the most developed, while environmental indicators require further improvement. The leading sectors among state-owned enterprises are water supply and sewerage, energy, and postal services and communications,” said Prof. Spartak Keremedchiev of the Bulgarian Academy of Sciences.

Prof. Daniela Bobeva presented the report’s findings concerning the banking sector. She noted that banks in Bulgaria are among the country’s top-performing businesses in terms of ESG disclosure.

“Banks are increasingly reporting not only because regulations require them to do so, but also because they recognise that transparency directly affects their operations, risk management and the financing of companies. High-quality reporting is becoming a key tool for informed decision-making, both for financial institutions and for businesses that rely on access to capital,” Prof. Bobeva said.

A survey accompanying the report was conducted among 21 companies and six banks. It examined their attitudes towards ESG and their future reporting intentions. The main motivations for ESG reporting are preparation for future regulatory requirements and risk management. Regulatory requirements were identified as the main reason by 66.7% of respondents.

The key challenges include the complexity of the European Sustainability Reporting Standards (ESRS), data collection and quality, and limited internal expertise.

Companies clearly expressed a need for practical support. A total of 52% identified practical guidance and templates as the most useful form of assistance. The next stage in the development of ESG reporting in Bulgaria will require higher-quality ESG data, more quantitative indicators, the integration of ESG considerations into management processes, and greater comparability and reliability of the disclosed information.

The Green Finance and Energy Centre concludes that ESG reporting can become an important factor in facilitating access to sustainable finance and improving the competitiveness of Bulgarian companies. Achieving this will require greater consistency, standardisation and further development of ESG reporting in line with the current European regulatory framework.