A Systematic Review of ESG Application to Territories

In recent years, ESG (Environmental, Social, and Govemance) investments have become pivotal in the financial sector, emerging as innovative tools promoting sustainability on a larger scale. This article investigates the integration of ESG investments to assess sovereign creditworthiness. In addition, the study examines how ESG can be involved in risk analysis and affects sovereign spreads, emphasizing their role in evaluating a country's long-term sustainability.