IFAC Comment Letter for the IFRS Foundation Sustainability Reporting Consultation

IFAC is submitting this comment letter to accelerate the journey towards a coherent global system for reporting sustainability information.

In answer to the fundamental issues at stake—is there a need for a global set of internationally recognized sustainability reporting requirements and should the IFRS Foundation play a leading role through the establishment of a new sustainability standards board—IFAC believes, based on extensive stakeholder outreach, that the answer is a resounding “Yes.”

On September 11, 2020, IFAC published Enhancing Corporate Reporting: The Way Forward arguing that a new standard-setting board is necessary to build and coordinate a coherent global system of interconnected corporate reporting that will rationalize the current fragmented ecosystem. IFAC called on the IFRS Foundation, with an enhanced remit and composition, to establish this board, leveraging the independence and success of IFRS governance (i.e., Monitoring Board and IFRS Foundation Trustees).

The accountancy profession, for its part, must play an active role in helping companies, economies, and societies achieve a more sustainable future. We believe that the standardization of high-quality sustainability information will bring new relevance to our work in corporate reporting and assurance and will advance the public interest. IFAC stands ready to engage with the IFRS Foundation, as well as our member organizations and other stakeholders, to ensure the success of this important initiative.