Agreement to create an interconnected approach for sustainability disclosures
The IFRS Foundation and Global Reporting Initiative (GRI) have
announced today a collaboration agreement under which their respective
standard setting boards, the International Sustainability Standards Board (ISSB) and the Global Sustainability Standards Board (GSSB), will seek to coordinate their work programmes and standard-setting activities.
The IFRS Foundation, which announced at COP26 the establishment of
the ISSB to develop a comprehensive global baseline of investor-focused
sustainability disclosures for the capital markets, and GRI, the leading
global standard-setter for multi-stakeholder focused sustainability
reporting, further announced that they will join each other's
consultative bodies related to sustainability reporting activities.
The agreement reflects the importance of ensuring compatibility and
interconnectedness of investor-focused baseline sustainability
information that meets the needs of the capital markets, with
information intended to serve the needs of a broader range of
stakeholders. The IFRS Foundation and GRI recognise the considerable
public interest in aligning where possible their respective work
programmes, terminology and guidance – helping to reduce the reporting
burden for companies and to further harmonise the sustainability
reporting landscape at an international level.
By working together, the IFRS Foundation and GRI provide two
‘pillars’ of international sustainability reporting – a first pillar
representing investor-focused capital market standards of IFRS
Sustainability Disclosure Standards developed by the ISSB, and a second
pillar of GRI sustainability reporting requirements set by the GSSB,
compatible with the first, designed to meet multi-stakeholder needs.
At COP26 we heard strong support for consolidation in the
sustainability reporting landscape. The work of the ISSB and its global
baseline concept will help deliver this objective for the capital
markets, whilst this agreement with GRI will help ensure capital market
standards are developed in a way that minimises reporting burden for
those companies also using GRI Standards.”
Erkki Liikanen, Chair of the IFRS Foundation Trustees
The MoU between GRI and the IFRS Foundation is a strong signal to
capital markets and society that a comprehensive reporting system,
which combines financial and impact materiality for sustainability
reporting, is possible on a global scale. Aligning GRI’s established and
widely adopted standards for sustainability impacts with the
investor-focused standards being developed by the ISSB will benefit both
companies and investors, as well as a wide range of stakeholders around
the world.”
Eelco van der Enden, CEO of GRI..
GRI
© GRI - Global Reporting Initiative
Key
Hover over the blue highlighted
text to view the acronym meaning
Hover
over these icons for more information
Comments:
No Comments for this Article