IFRS Foundation Releases Guide on Sustainability Risk Disclosure
The IFRS Foundation has published a new guide to help companies identify and report sustainability ​risks and opportunities. This initiative, led by the International Sustainability Standards Board (ISSB), is consistent with the broader objective ​of supporting the global adoption ​of ISSB standards. ​The guide shows how risks and sustainability opportunities can affect cash flows, access to finance and the cost of capital in the short, medium and long term.This is the integration of IFRS S1, which provides a framework for the overall publication of financial information on sustainability. It describes how business units on environmental, ​social and ​governance ​factors and their impact on their value chains can create risks or opportunities. The publication encourages ​companies to ​consider sustainability through an integrated thinking approach, linking business activities ​to social ​and environmental contexts.The guide is based on established practices of relative importance used in financial reporting, including reporting principles 2. This alignment allows companies that are familiar with IFRS in more than 140 countries to fully integrate sustainability information practices. In doing so, companies not only respond to investor requests, ​but also strengthen internal governance ​and stakeholder confidence.In addition, the document provides concrete measures to implement these declarations, improve the ​comparability and ​use of decisions in global capital markets. He proposes to focus on dependency and impact throughout the value chain, emphasizing its importance for financial health and long-term sustainability.The publication of ​this guide is an important step in sustainability reporting. IFRS reinforces its commitment to provide sound and recognized global financial and non-financial reporting frameworks.Sources:
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