Regulatory Update: 2024 Outlook

Transcript

Clarity AI -in collaboration with ECOFACT- recently published its 2024 regulatory outlook. It contains a comprehensive global preview of the major regulatory changes in sustainable finance we can expect in 2024. To give five highlights:

1. SFDR was covered in our last mini pod, but elsewhere there’s a lot of activity in the EU including the recent political agreement on the Corporate Sustainability Due Diligence Directive -CSDDD- aimed to encourage companies to undertake environmental and human rights due diligence on their own activities and those of their value chain.
2. We covered the UK SDR coming into force in an earlier mini pod. Elsewhere we expect a consultation on a UK taxonomy in 2024.
3. In Switzerland, the Code of Obligations will require companies to report on environmental issues and the Swiss Climate Scores will be reviewed by the Federal Department of Finance and State Secretariat for International Finance.
4. In the US, we expect the SEC to finalise its climate disclosure rules which will mandate companies to report on climate-related risks and greenhouse gases. It is likely that this rule’s passing will also trigger the finalisation of the SEC’s disclosure rules for investment advisers and investment companies.
5. In Singapore, we will see the first use of the Singapore Asia green and transition taxonomy in 2024 by both financial and non financial companies

We will be monitoring all these -and more- developments closely to see where Clarity AI’s data and advanced analytics capabilities can support companies on their journey through regulation. Wishing you a very happy 2024.