The board said that a significant milestone had been passed with the publication by the newly established International Sustainability Standards Board (ISSB) of two exposure drafts, on climate and general sustainability-related disclosure standards.

However, it highlighted the fragmented approach of jurisdictions and stressed that ‘there is a need to coordinate the large and growing number of international initiatives underway on addressing financial risks from climate change’.

‘The timely issuance of a final global baseline climate reporting standard ready for market adoption is critical given the global market demand for consistent, comparable, and decision-useful disclosures on climate-related risks and opportunities,’ the FSB said. ‘Moreover, there is also a growing recognition of the importance of global assurance standards to drive reliability of disclosures.’

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