Chair of IFRS Foundation Trustees discusses path to global sustainability standards

Erkki Liikanen, Chair of the IFRS Foundation Trustees, delivered a keynote speech at CFA Institute’s Global Financial Regulatory Symposium, in which he talked about IFRS Foundation’s work to meet the information needs of investors and other capital market participants by creating a proposed new board that would develop a global baseline of sustainability-related disclosures.

During the speech, he noted that the approach to creating a global baseline of sustainability related disclosures has been welcomed and has received broad support from the G7 Finance Ministers, from global regulators in the form of IOSCO, from investors and corporates around the world, and from other standard-setting organisations. 

He emphasised the need for high-quality, globally comparable information based on which investors can assess sustainability risks and make informed decisions. He observed that IFRS Foundation’s work towards global sustainability standards is demand-driven and noted the overwhelming response received by the IFRS Foundation to its consultation on sustainability reporting.

He further discussed the need to reconcile jurisdictional and international standards. He noted that the approach advocated by IOSCO and others is to establish a global baseline of sustainability-related disclosure standards to meet investor needs, which would be made available for use by jurisdictions as a base for public policy needs.

The text of the speech may be accessed here.