The World Bank Group and IFRS Foundation have announced an expanded commitment to promote sustainability standards in emerging markets and developing economies (EMDEs). This renewed partnership, announced during New York Climate Week, builds on their longstanding work together to facilitate the global adoption of IFRS Accounting Standards in EMDEs.

The World Bank has also launched a multi-year plan to align its climate and sustainability financial disclosures with the International Sustainability Standards Board (ISSB) guidelines, tailored to the specific needs of the International Bank for Reconstruction and Development and the International Development Association.

World Bank Group President Ajay Banga stated:

“The World Bank Group supports global efforts to establish harmonised, interoperable sustainability reporting standards that enhance financial reporting. Our support for the ISSB since its launch at COP26 reflects our commitment to its role in creating a global framework for climate-related financial disclosures.”

In line with this, the World Bank and IFRS Foundation have agreed to expand their Memorandums of Understanding to advance ISSB Standards in EMDEs, with careful consideration of regional needs. Both organisations will also collaborate with public and private stakeholders on capacity-building initiatives.

IFRS Foundation Managing Director Michel Madelain commented:

“Many developing economies are already moving toward adopting ISSB Standards, aiming to boost transparency in value chains and attract capital flows. We are grateful for the World Bank Group’s ongoing partnership and commitment to supporting ISSB Standards in these regions and for its leadership in aligning its own reporting with ISSB Standards, a crucial message to global capital markets.”

Info obtained here