Financial Reporting Obligations: "The Sky Can(not) Wait"

It can be easy to put defined lines around certain topics and categorise them in isolation, but more and more we are seeing the inclusion of environmental, social and governance (ESG) and corporate social responsibility (CSR) criteria across key financial regulations.

In particular, the Non-Financial Reporting Directive (NFRD) in conjunction with the Corporate Sustainability Reporting Directive (CSRD) and the Sustainable Finance Disclosure Regulation (SFDR) have evolved the French and European regulations further, requiring extra-financial reporting obligations. For example, it is mandatory for financial companies to communicate extra-financial information on each of their activities and financial institutions must include disclosures on how funds take into consideration the environmental objectives.