Petya Petrova

The growing importance of identifying environmental, social and governance (ESG) risks is driven by increasing regulatory requirements and stakeholder expectations. However, information asymmetry, disclosure–performance gaps and potential greenwashing may limit the reliability of sustainability disclosures. This study examines the potential of financial statements as an additional source for screening ESG risk exposures and proposes an ESG Proxy Mapping Approach based on financial statement indicators. The empirical analysis covers companies listed on the Bulgarian Stock Exchange (68 in total), combining content analysis of publicly available financial and non-financial information with quantitative proxy indicators, comparative analysis and cross-report verification. The findings indicate that the feasibility of identifying potential signals varies across indicators, companies, and sectors. Proxies based on conventional accounting items tend to be more observable than those that require disclosing ESG-specific amounts. However, the mere existence of an observable accounting item or computable ratio does not establish an ESG-related cause. Missing disclosures also constrain the assessment. The findings suggest that, when combined with contextual disclosure analysis, financial-statement-based proxy mapping can support preliminary ESG risk screening, but cannot independently confirm the existence or magnitude of ESG risks.

The accelerating integration of artificial intelligence (AI) in education presents new challenges and opportunities, even in traditionally conservative fields such as accounting. The increasing importance of AI-driven learning approaches raises important questions about their applicability and impact within national educational contexts, particularly in countries where there is limited empirical evidence. A review of the scientific literature reveals a global shift towards transforming accounting education through personalised learning environments, automated assessment, intelligent simulations and developing competencies for working with advanced digital systems. While international studies increasingly document the pedagogical potential of AI in accounting and related disciplines, research addressing its implementation in Bulgarian accounting education is scarce. To address this, this study employs a mixed-methods research design, combining qualitative and quantitative analysis. The research focuses on three key questions: the extent to which AI is integrated into educational documentation; the attitudes and readiness of students and instructors towards AI-driven learning; and the factors influencing its adoption in accounting education. The findings reveal limited institutional integration of AI within accounting curricula, alongside predominantly positive student attitudes towards the use of AI tools and high perceived learning benefits. In contrast, professors demonstrate a higher level of scepticism, primarily due to concerns about the reliability of AI-generated information and its potential impact on analytical and critical thinking skills. These results highlight structural and generational differences in the adoption of AI in higher education.

This paper investigates the environment for digital transformation in rural areas of Bulgaria with a special focus on the digital village concept. Rural regions form the backbone of society and face unique challenges that include depopulation, an agеing population, and limited access to modern services. Despite extensive studies on digitalization in urban areas, rural areas have received less attention in the scientific literature. This paper addresses this gap by exploring the potential of digital technologies to revitalize rural communities and by assessing whether the digital village model can offer a viable solution for sustainable rural development. The research uses a mixed methodology combining quantitative analysis of statistical data with qualitative evaluations of policy initiatives and local conditions. Two primary research questions guide the study: first, what is the current environment for digitalization in Bulgarian rural areas, and second, is the digital village concept an applicable model for digital transformation in these regions? The findings reveal that while significant infrastructural and educational challenges remain, there is an encouraging trend in digital literacy and policy support. Moreover, improvements in digital infrastructure and targeted training initiatives indicate that rural areas have untapped potential for digital growth. The study contributes to the field by providing a comprehensive framework that synthesizes the key factors affecting rural digital transformation and by offering practical recommendations for policymakers and community stakeholders. The findings results imply that with targeted investments and strategic planning, the digital village concept could play a pivotal role in enhancing economic activity, social inclusion, and overall quality of life in rural areas of Bulgaria.

Sustainability reporting is a growing trend, driven by increasing environmental concerns, social change and public interest. It has emerged as a key tool for corporate transparency and accountability, particularly in high-impact industries such as electricity. Companies in the electricity sector face heightened expectations to disclose their sustainability performance due to their significant environmental footprint and strategic importance. The electricity sector has an important role to play in achieving the Sustainable Development Goals and the EU commitment to become CO2 neutral by 2050, This study examines reporting practices, focusing on the electricity sector’s commitment to sustainability and its alignment with the Sustainable Development Goals (SDGs). Using a mixed-methods approach, it identifies key areas of focus in sustainability reporting and challenges in the sector among Bulgarian companies. The findings indicate that sustainability reporting in the Bulgarian electricity sector is evolving, with companies increasingly aligning their disclosures with sustainability reporting regulations. Sustainability disclosures predominantly emphasise environmental sustainability, in line with carbon emission reduction, energy efficiency and renewable energy integration, as well as social issues related to employees. It was found that the key drivers of sustainability reporting include regulatory requirements, investor expectations and corporate social responsibility commitments, while challenges stem from data collection difficulties and lack of expertise. This research contributes to the literature by providing an in-depth assessment of sustainability reporting in the Bulgarian electricity sector. It fills a research gap and offers insights that improve our understanding of the dynamics of sustainability reporting in Bulgaria. In conclusion, while progress is evident, continuous improvement in sustainability reporting remains essential for the electricity sector’s transition to a more responsible and environmentally conscious future.

Sustainability reporting is a key tool for managing uncertainty because it provides transparency, accountability and reliable information on companies' environmental, social and governance (ESG) performance. By disclosing relevant data and insights, sustainability reports enable stakeholders to make informed decisions, understand companies' environmental and social impacts, and assess their long-term sustainability strategies. This paper examines the evolving landscape of corporate sustainability reporting in Bulgaria, taking into account the broader context of corporate impact assessment and impact accounting. The study begins with an introduction to the growing importance of sustainability reporting in today's business environment, emphasising the need for transparency, accountability and compliance. A review of the current literature on the subject reveals a notable trend towards increased disclosure of environmental initiatives and impacts, alongside persistent challenges such as inadequate quality and quantity of reporting, expertise gaps and inconsistencies in guidance. To address these issues, the research uses a mixed-methods approach to explore the nature of sustainability reporting, regulatory frameworks and accountability practices in Bulgarian companies. Through data analysis and interpretation of findings, the study reveals a positive trend towards greater disclosure of sustainability initiatives and impacts, albeit with significant variations in reporting quality and methodology. As Bulgarian companies prepare for the implementation of the Corporate Sustainable Reporting Directive (CSRD), the study highlights the essential need to align with evolving sustainability reporting standards to promote transparency and accountability. By addressing these challenges, companies can better meet stakeholder expectations, contribute to sustainable development goals, and build reputation and trust in the corporate sector. Finally, this paper contributes to the field of sustainability reporting by providing valuable insights into the current state of affairs in Bulgarian companies.