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Developments in global sustainability reporting from COP28

COP28 saw the IFRS Foundation announce new commitments to advancing sustainability disclosures in driving climate action.

In brief
  • At COP28, the IFRS Foundation launched the Sustainability Knowledge hub on COP28’s Climate Action Day to support preparers in using ISSB standards. 
  • A wide range of companies, investors, stock exchanges and others declared their support for the use of climate related disclosures.
  • The work of TCFD formally transferred to the ISSB, reflecting further consolidation of the disclosure landscape.

COP28 was convened between 30 Nov – 13 December 2023 and a number of announcements related to global sustainability reporting were made there. This article highlights the particular announcements that company board members and executives need to be aware of as companies prepare their sustainability-related financial disclosures going forward.

Knowledge hub to support capacity building

The IFRS Foundation’s Sustainability Knowledge hub went live on COP28’s Climate Action Day to support preparers in using IFRS S1 General Requirements for Disclosure of Sustainability-related Financial Information and IFRS S2 Climate-related Disclosures. IFRS S1 and IFRS S2 are the first ISSB standards issued by the International Sustainability Standards Board (ISSB); they are effective from 1 January 2024 subject to jurisdictional adoption. The Knowledge hub represents a key component of the IFRS Foundation’s capacity building programme in collaboration with a number of partners. It hosts content developed by the IFRS Foundation and third-party organizations which will be added to over time, according to market needs and emerging practices. Current resources on the hub include an introduction to the ISSB standards, a guide for transitioning from the Task Force on Climate-related Financial Disclosures (TCFD) recommendations to ISSB standards and a set of frequently asked questions. The Knowledge hub has been designed to help companies prepare their ISSB disclosures and it will also be a useful repository for auditors, investors, regulators and other stakeholders seeking to advance their understanding of the ISSB standards.

The IFRS Foundation’s Knowledge hub is a repository of more
than 100 resources to help companies prepare their ISSB
disclosures. It will also support auditors, investors, regulators and
other stakeholders seeking to advance their understanding of the
ISSB standards.

New commitments on sustainability-related financial disclosures

During COP28, the IFRS Foundation announced three new commitments to support efficient and resilient capital markets through robust sustainability-related financial disclosures. Apart from capacity building, the IFRS Foundation will advance jurisdictional adoption of the ISSB standards through bilateral dialogues with governments and regulators and it will work closely with both the International Organization of Securities Commissions (IOSCO) and the Financial Stability Board (FSB) on this. In addition, it will advance new standard-setting initiatives to build out the global baseline of sustainability-related disclosures following feedback on the ISSB’s recent Consultation on agenda priorities.

The work of the ISSB has been welcomed by regulators and
standard setters in jurisdictions around the world as they
incorporate the new ISSB standards into their regulatory
frameworks from 1 January 2024.

Declaration of support for climate-related disclosures

At the Finance Day of COP28, close to 400 organizations, including associations, companies, investors, stock exchanges and accounting institutes from dozens of jurisdictions, made commitments to advance the adoption or use of the ISSB’s climate standard, IFRS S2, as the climate global baseline. In response to calls for climate action at COP28, these organizations declared support for the establishment of market infrastructure to enable consistent and comparable climate-related disclosures at a global level. Many regulators and standard setters have also welcomed the work of the ISSB, as jurisdictions around the world start considering how they may incorporate the ISSB standards into their regulatory frameworks.

Culmination of the work of TCFD

In July 2023, following the issuance of IFRS S1 and IFRS S2, the Financial Stability Board asked the IFRS Foundation to take over the monitoring of the progress on companies’ climate-related disclosures from the TCFD. While there are additional requirements in IFRS S2 compared with TCFD recommendations, companies applying IFRS S1 and IFRS S2 will also meet the TCFD recommendations, as they are fully incorporated into these two standards. TCFD recommendations represent a helpful starting point for companies as they move to use the ISSB standards. COP28 marked the official end of the work of the TCFD and the further consolidation of the disclosure landscape.


There is growing support from a wide range of stakeholders to adopt or use ISSB standards and companies need to monitor whether jurisdictions in which they operate will require sustainability reporting in accordance with these standards. At the same time, it is recognized that companies need more guidance in order to navigate the implementation process and thus there is a global effort to make the relevant resources more accessible to them.


The ISSB’s new international sustainability standards, effective in January 2024, received strong support from a wide range of stakeholders at COP28 and beyond. To help companies adopt the standards, the ISSB launched its new knowledge hub on COP28’s Climate Action Day. The hub’s resources will help companies develop skills, capacity and share knowledge to ensure sustainability reporting can help provide better information for those driving climate action across the business world.

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