IASB Considering Role in Sustainability Reporting

The IFRS Foundation Trustees have published a consultation paper, which is designed to determine the demand for global sustainability standards. If sufficient demand exists, the Trustees then aim to determine to what extent the Foundation may be involved in standard setting.

One option explored in the paper is whether the Foundation should establish a new sustainability standards board to develop a set of international standards governing sustainability reporting.

The consultation paper is open for comments until 31 December 2020.

In connection with this point, the Chair of the IASB, Hans Hoogervorst, delivered the keynote speech at the IFRS Foundation Virtual Conference on 28 September 2020. In it, he emphasised the importance of climate change and its effects on current financial reporting in accordance with IFRS, however, he noted how additional, sustainability focused report may also be required.

The consultation paper may be accessed here. Text of Hans Hoogervorst’s speech is available here.