ISSB Introduces Global Sustainability Standards
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After consulting the market extensively and consolidating resources from various initiatives with international support, the (ISSB) released its first two standards IFRS S1 and S2 on June 26, 2023.
The primary objective is to compel entities to disclose decision-making useful information about their climate and sustainability related risks and opportunities. This information is crucial for stakeholders, including those providing resources to the entity. IFRS S1 and IFRS S2 mandate the disclosure of material sustainability-related and climate-related risks and opportunities that could impact cash flows, access to financing, or cost of capital over the short, medium, or long term.
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