New proposals on the first IFRS® Sustainability Disclosure Standards mark the next step toward equal prominence for international sustainability and financial reporting. The proposals aim to create a global baseline for investor-focused sustainability reporting that local jurisdictions can build on.
What’s the impact?
- Companies applying these standards will need processes and controls in place to provide sustainability information of the same quality and timeliness as their financial information.
- Getting ready now is critical even if the final standards are not identical to the exposure drafts. Companies that are already producing similar sustainability-related information are likely to find reporting under the final standards easier, even if the information is not published.