On 14 September 2023, the European Commission initiated a consultation on its sustainable financial disclosure practices, seeking feedback on Regulation (EU) 2019/2088 — the Sustainable Finance Disclosure Regulation (SFDR). The consultation surveys stakeholders’ experiences during the implementation of the SFDR and, in particular, solicits feedback on its interactions with the broader EU sustainable finance framework.
Background
The SFDR came into effect in March 2021 and sets out how financial market participants should communicate information to investors and make sustainability-related disclosures. One of the EU’s key aims in introducing the SFDR was to ensure transparency and create a level playing field for financial market participants and investors regarding sustainability risks, adverse sustainability impacts, and sustainability-related information in financial products.
