The job description of the financial director is probably adjusted most often. Traditionally, the role of such a position consists mainly in keeping financial statements. But with the development of society, markets and, in general, the macroeconomic context, both expectations, on the one hand, and responsibilities, on the other, grow, and the agenda of the CFO becomes increasingly busy, this time also with environmental requirements , sustainable development and governance (ESG).

CFOs and their finance functions have always played a role in supporting strategic decision-making by aggregating and analyzing various types of financial and non-financial information. But given that companies will face reporting and compliance pressures beyond reporting in the coming years, there is a need for CFOs to be involved in ESG decision-making, including the company’s financial strategy and communications with investors.

Companies are increasingly required to outline their environmental, social and governance strategies and objectives/performance in order to secure funding, as they have become an important factor that potential investors and financiers consider when evaluating organizations for lending or investment decisions. In addition, sustainable funding is another opportunity that CFOs should look at in terms of driving a company’s ESG strategy.

PwC’s analysis shows that to achieve long-term ESG goals, CFOs must fulfill four roles.

Read the rest of the article on the PwC Romania blog

The article was signed by Radu Bedicanu, PwC partner in Romania

Article supported by PwC Romania