2022

Companies, investors and professional accountants call for global alignment in sustainability reporting

Aug 31, 2022

The International Federation of Accountants (IFAC) published on its website a joint statement by 65 organisations calling for stronger alignment of regulatory and standard-setting efforts around sustainability disclosure.

The statement notes that significant efforts by the International Sustainability Standards Board (ISSB), the US Securities and Exchange Commission (SEC), and the European Commission together with the European Financial Reporting Advisory Group (EFRAG) are underway, which all aim to address the need to enhance and evolve corporate reporting to include and consider sustainability information. However, current draft standards and initiatives are not technically compatible in terms of concepts, terminologies, and metrics. Therefore, leading financial market participants are asking financial market regulators to avoid regulatory and standard setting fragmentation by aligning on key concepts, terminologies, and metrics on which disclosure requirements are built.

Review the full statement on the IFAC's website.

IFRS Foundation announces second ISSB Vice-Chair

Aug 31, 2022

On August 31, 2022, the Trustees of the IFRS Foundation announced the appointment of Jingdong Hua as ISSB Board member. He will also act as the second Vice-Chair of the ISSB.

Mr. Hua is the former Vice President and Treasurer of the World Bank, where his responsibilities included green bond initiatives and sustainable finance capacity-building programmes. He has also previously served as Deputy Treasurer of the Asian Development Bank and has held positions at the United Nations Development Programme and the African Development Bank. In his role as Vice-Chair, Mr Hua will oversee the development and implementation of the ISSB’s strategies to support and include stakeholders in emerging and developing economies as well as small and medium-sized companies.

Review the press release announcing the appointment on the IFRS Foundation's website.

IFRS Foundation announces two additional ISSB members

Jul 14, 2022

On July 14, 2022, the Trustees of the IFRS Foundation announced the appointment of Tae-Young Paik and Elizabeth Seeger as ISSB Board members. The press release notes that the appointment of the remaining Board members is at an "advanced stage".

Dr. Paik has worked as an academic and policy advisor on accounting and sustainability matters for over 30 years both in Korea and internationally. He currently serves as professor of accounting at Sungkyunkwan University in Seoul and chair of the Sustainability Evaluation and Disclosure Committee in the G7 Korea Impact Alliance. He recently completed a presidency of the Korea Accounting Association.

Ms. Seeger joins the ISSB from global investment firm KKR, where she has served as Managing Director, Sustainable Investing, responsible for helping oversee the firm's consideration of sustainability matters throughout KKR’s investment process. Since 2017 she has also served as a member of the SASB Standards Board.

Both Dr. Paik and Ms. Seeger are appointed for a three-year term, effective July and November 2022, respectively.

Review the press release announcing the appointments on the IFRS Foundation's website.

IFRS Foundation announces three additional ISSB members

Aug 23, 2022

On August 23, 2022, the Trustees of the IFRS Foundation announced the appointment of Jenny Bofinger-Schuster, Hiroshi Komori and Veronika Pountcheva as ISSB Board members.

Ms. Bofinger-Schuster joins the ISSB from Siemens, where she has served as Senior Vice President for sustainability and operational excellence, with responsibility for developing the company’s sustainability strategy and for implementing new disclosure requirements. She has been appointed for a five-year term beginning on December 1, 2022.

Mr. Komori served as Senior Director and Head of the Stewardship and ESG Division at the Government Pension Investment Fund in Japan, where he developed the investor engagement and participation in international sustainability initiatives. He has been appointed for a three-year term beginning on September 1, 2022.

Ms. Pountcheva joins the ISSB from METRO, where she served as Senior Vice President of corporate responsibility and Co-chief Executive Officer of NX Food, with responsibility for developing the company’s long-term sustainability strategy. She has been appointed for a five-year term beginning on October 1, 2022.

Review the press release announcing the appointments on the IFRS Foundation's website.

IFRS Foundation sets up consultative committee on sustainability

Sep 06, 2022

On September 6, 2022, the IFRS Foundation announced the formation of the Sustainability Consultative Committee (SCC). The SCC’s remit is to identify, inform and advise the International Sustainability Standards Board (ISSB) on priority sustainability matters and related technical protocols, as well as significant interdependencies between sustainability matters.

The SCC has four permanent member organisations ― the International Monetary Fund, the Organisation for Economic Co-operation and Development (OECD), the United Nations and the World Bank. Alongside these permanent organisations, seven additional expert members have been appointed.

Review the press release and the full list of member organizations on the IFRS Foundation's website.

IOSCO identifies key issues to focus on when evaluating the ISSB standards

Jul 27, 2022

On July 27, 2022, the International Organization of Securities Commissions (IOSCO) released a statement from its recent Board meeting, where they welcomed the strong stakeholder engagement on proposals for a comprehensive global baseline of sustainability disclosures for capital markets. Board members agreed the criteria which IOSCO will use to assess the ISSB standards and have also identified the key issues for IOSCO to focus on.

The Board specifically discussed three key practical issues of proportionality and implementation to be considered:

  • ensuring the proposed standards can truly serve as an effective global baseline under either a voluntary or mandatory regime, including by considering how to provide for the scaling and phasing-in of requirements to accommodate issuers with differing degrees of maturity in sustainability reporting;
  • how the ISSB can best assist implementation by clarifying definitions and providing additional guidance and examples where necessary;
  • how and when to incorporate the proposed industry-based disclosure data points, recognizing on the one hand that industry-specificity is highly valued by investors, while on the other that some data points may initially be challenging for some issuers.

The statement on the IOSCO website notes that the due process for potential endorsement will begin after the ISSB has issued its final standards. It also states that IOSCO has begun work in collaboration with the international standard setters for audit and assurance to promote a common global approach to independent and high-quality assurance of issuers’ sustainability disclosures.

Review the full statement on the IOSCO's website.

IOSCO welcomes work on assurance of sustainability-related corporate reporting

Sep 15, 2022

On September 15, 2022, the International Organization of Securities Commissions (IOSCO) welcomed the work of the International Auditing and Assurance Standards Board (IAASB) and the International Ethics Standards Board for Accountants (IESBA) on assurance of sustainability-related corporate reporting.

The statement released on the IOSCO website notes:

In particular, IOSCO welcomes the Boards’ plans to work towards high-quality, global assurance and ethics (including independence) standards that are profession-agnostic and can support limited, and ultimately, reasonable assurance of sustainability-related information. This work will serve to support the consistency, comparability and reliability of sustainability-related information provided to the market, enhancing trust in the quality of that information.

IOSCO also welcomes the dialogue that the IAASB and the IESBA have opened with the International Sustainability Standards Board (ISSB). IOSCO encourages continued close engagement as the standard-setters advance their respective work programmes to foster compatibility between international financial reporting, sustainability reporting, and assurance standards.

Review the full statement on the IOSCO's website.

Recordings of the webinar on the feedback request on a future IFRS sustainability disclosure taxonomy for digital reporting

Sep 19, 2022

On September 12, 2022, the staff of the International Sustainability Standards Board (ISSB) offered a webinar explaining the request for feedback that would inform the development of a taxonomy to enable digital consumption of sustainability disclosures prepared using the ISSB's IFRS Sustainability Disclosure Standards.

For the convenience of stakeholders in different time zones, there were two sessions of the webinar. Both of them have been recorded and the recordings are now available on YouTube:

Webinar on the feedback request on a future IFRS sustainability disclosure taxonomy for digital reporting

Sep 01, 2022

On September 1, 2022, the staff of the International Sustainability Standards Board (ISSB) announced that it is holding two live webinars on the Staff Request for Feedback on the IFRS Sustainability Disclosure Taxonomy to inform the development of an IFRS Sustainability Disclosure Taxonomy for digital reporting.

The webinar explains in more detail the request, which is out for comment until September 30, 2022.

For the convenience of stakeholders in different time zones, there will be two sessions of the webinar on September 12, 2022, at 09:00 BST and at 17:00 BST.

Review the press release on the IFRS Foundation's website.

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