In September 2020, the Trustees of the IFRS Foundation launched a consultation to assess whether there is a need for global sustainability reporting standards, and the role that the Foundation could play in developing such standards. Following the consultation period, the Trustees have analysed the 576 comment letters received.
Keywords: Mazars, Thailand, IFRS, Sustainability reporting, IOSCO, SSB, COP26
9 April 2021
The results show growing and urgent demand for improved consistency and comparability in sustainability reporting at the international level. Stakeholders also agreed that urgent steps need to be taken and that the IFRS Foundation should play a role in this.
IOSCO, the International Organization of Securities Commissions, has also reiterated its support for this initiative.
In the light of this strong consensus, the Trustees have decided to analyse stakeholder responses in more depth to identify key success factors and other conditions to be satisfied, before considering whether to create a new Board (to sit alongside the International Accounting Standards Board, which publishes IFRSs).
If the Trustees conclude that the requirements for success can be met, a proposed amendment to the IFRS Foundation Constitution would be published (with a 90-day comment period), with a view to establishing a Sustainability Standards Board (SSB).
The Foundation is expected to refine its proposals (including a roadmap and schedule) by the end of September 2021. If the plan goes ahead, the formation of the SSB could be announced at the next United Nations Climate Change Conference (COP26) in November 2021.