Milena Mitrović on sustainability reporting in the financial sector

Sustainability reporting has become a defining element of European financial regulation, influencing how banks, investors, and supervisors evaluate risk and long-term resilience. At the Luxembourg Centre for European Law (LCEL), Doctoral Researcher Milena Mitrović contributes to this evolving field through her work on the enforcement of the European Sustainability Reporting Standards (ESRS). Building on Luxembourg’s position as a major cross-border financial hub, her research connects academic insight with regulatory practice, shedding light on how transparent and reliable sustainability disclosures can strengthen EU capital markets.
In this interview, Milena Mitrović discusses her experience working in a newly founded research centre, the growing importance of ESG reporting in the financial sector, and the value of engaging with Europe’s community of young financial law scholars

‟ It is essential to translate academic insight into policy options that matter both locally and at the EU level, strengthening the institute’s and the country’s role in shaping regulatory practice.”

Milena Mitrović

Doctoral Researcher

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What is it like to work in a newly founded research institute as part of the University?

The LCEL is still taking shape, so the role demands initiative, persistence, and a strategic mindset. However, the LCEL also builds on the strong intellectual and institutional heritage of the Max Planck Institute Luxembourg. This continuity provides a solid foundation. We must make our work visible, foster collaborations, and attract projects that demonstrate tangible impact.

In the initial years, recognition often lags behind effort, but that makes every successful research outcome even more meaningful. We can help define the institute’s identity and reputation. In Luxembourg, this task carries particular weight: as a major cross-border financial hub, my work in capital markets, banking, and financial law feeds directly into that ecosystem.

It is essential to translate academic insight into policy options that matter both locally and at the EU level, strengthening the institute’s and the country’s role in shaping regulatory practice.

What topic did you focus on in your doctoral thesis, and why is it relevant?

My doctoral thesis examines the administrative enforcement of the European Sustainability Reporting Standards (ESRS) within EU capital markets law, focusing on the complex challenges of supervising sustainability reporting. It explores how enforcement mechanisms can be strengthened, ensuring reliability, accountability and credibility. The research is particularly relevant because consistent and credible enforcement is essential not only for investor confidence but also for a wider range of stakeholders, including regulators, companies, civil society, and the broader public. By promoting transparency and accountability, effective enforcement of sustainability reporting supports informed decision-making, market integrity, and the long-term resilience of the EU capital markets.

You are the Coordinator of the European Banking Institute (EBI) Young Researchers Group. What is the added value of such a platform?

The EBI Young Researchers Group (YRG) brings together early-career scholars across Europe in banking and financial law, providing a collaborative platform to share research and exchange ideas. It offers opportunities for members to present work-in-progress, receive feedback, and develop their projects in a supportive community. Through workshops, conferences, and research projects, we had the chance to engage at a high level with the evolving landscape of European financial regulation.

Your research also covers sustainability reporting by banks. What exactly is that and what role does it play in the financial sector?

Banks, like all financial players, are increasingly affected by environmental, social, and governance (ESG) risks. Sustainability reporting is how banks share important information about these risks and opportunities. This reporting isn’t just for regulators; it helps also banks themselves, investors, customers, and other stakeholders to understand how banks are managing ESG issues. It allows to better assess risks, as well as operational or reputational ones. It also helps banks make smarter decisions about lending, investing, and preparing for potential shocks in the system. ESG factors can influence a bank’s financial health directly, or indirectly through the companies and clients they work with. That’s why transparency and standardized reporting are so important: they help the whole financial system be more resilient and guide money toward activities that are sustainable.