Eurosif response to the ESAs on Joint Consultation Paper concerning ESG disclosures
The European Supervisory Authorities (ESAs) invited comments on ESG disclosures under Regulation (EU) 2019/2088 on sustainability-related disclosures in the financial sector (SFDR).
Eurosif and its members are committed to the growth and development of sustainable finance and support European policymakers’ demonstration of global leadership. Eurosif welcome the Sustainable Finance Action Plan, the various legislative frameworks that the EU has adopted such as the Sustainable Finance Disclosure Regulation (SFDR), the EU Taxonomy and the Paris-Aligned and Climate Transition benchmarks and supports fully their objectives to a) reorient capital flows towards sustainable investments, b) manage financial risks stemming from ESG issues; and c) foster transparency and long-termism in the financial system and the overall economy.
Eurosif fully supports the aim of the SFDR to bring more transparency and comparability to the market for ESG/SRI financial products. Transparency around principal adverse impacts is required if the EU is to meet the ambition of the Paris Agreement, the EU Climate law and Green deal and the UN Sustainable Development Goals. We have however some comments and suggestions around the approach proposed by the European Supervisory Authorities (ESAs).