The IFRS Foundation signed a memorandum of understanding with the International Finance Corporation (IFC), a member of the World Bank Group, to improve sustainability and climate reporting in emerging markets and developing economies.
The collaboration was announced during London’s Climate Action Week, according to a news release. The partnership’s focus is promoting consistent application of IFRS sustainability disclosure standards across the emerging markets.
The agreement “outlines plans to provide technical assistance and tailored support” to help jurisdictions adopt and implement these standards effectively, the release said. The agreement builds on the IFC’s successful initiatives already in place in Bangladesh and Jordan.
“This partnership is a commitment to future-proof financial markets against environmental risks, support the private sector’s ability to seize opportunities to evolve towards more resilient business models, and to promote the transparency that global investors and stakeholders increasingly demand,” the release said.
In addition, the collaboration looks to encourage sustainability reporting by developing toolkits, research publications, and training programmes to build capacity for consistent application of the standards, the release said. The IFRS Foundation and the IFC aim to align the new IFRS sustainability disclosure standards with the European Sustainability Reporting Standards.
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