The ISSB recently published its inaugural standards, IFRS S1 and IFRS S2, which fully incorporate the TCFD recommendations. These standards provide a global baseline for sustainability-related disclosures, ensuring that companies worldwide follow consistent guidelines in reporting climate-related information. 

The Financial Stability Board (FSB), which oversees the TCFD, acknowledged that the ISSB standards mark the culmination of the TCFD’s work since its establishment in 2017. The FSB has now requested the IFRS Foundation to take over monitoring companies’ progress in disclosing climate-related information, a responsibility previously held by the TCFD.

The ISSB is actively supporting the implementation of the IFRS S1 and IFRS S2 standards by promoting capacity building and monitoring progress towards widespread adoption of high-quality climate-related disclosures.

Emmanuel Faber, Chair of the ISSB, commended the TCFD for its role in improving the quality of climate-related disclosures and providing vital information to investors about climate risks and opportunities. He emphasised that the ISSB has integrated the TCFD recommendations into its standards and is pleased to take over the monitoring responsibilities from 2024, building upon the TFCD’s legacy.

For more information, see the press release on the IFRS Foundation’s website.