Do digitalization and technological innovation foster the achievement of the sustainable development goals? Evidence from EU’s newer member states

Purpose This study aims to evaluate the impact of digitalization and technological innovation on the achievement of Sustainable Development Goals (SDGs) in 11 EU member states that joined after 2004. The research specifically investigates how the influence of these factors varies across different levels of sustainability performance in the post-accession period. Design/methodology/approach Using annual data from 2000 to 2023, the study applies the quantile regression method to capture heterogeneous effects across countries with differing SDG performance levels. This approach allows for an in-depth analysis of whether and how digitalization and innovation affect sustainability outcomes at lower, median and higher levels of development. Findings The results reveal that digitalization has a consistently positive and statistically significant impact on SDG performance across all quantiles, with stronger effects observed in countries with lower sustainability scores. In contrast, technological innovation shows a more limited and diminishing effect at higher quantiles, suggesting that innovation alone is not sufficient without complementary policy or institutional support. The study confirms the crucial role of digital transformation in accelerating sustainable development in emerging EU economies. Originality/value This study provides novel insights into the differentiated role of digitalization and innovation in promoting sustainability across various stages of development. Unlike previous research that primarily focused on advanced economies, this paper emphasizes the importance of tailored digital investment strategies in newer EU member states, offering practical implications for policymakers seeking to close the SDG performance gap within the European Union.