Sustainable Finance and Reporting
As environmental issues gain attention across the globe, investors are asking for more sustainable financial products and projects and greater transparency about how and where their money is invested.
In this context, the European Commission is working on a number of proposals whose aim is to encourage capital flows towards sustainable activities, and to provide investors with more clarity on what actually constitutes a sustainable investment.
To drive this strategy for sustainable investments, the European Commission has adopted a package of proposed measures:
Among these measures, the “Taxonomy Regulation” sets the overall framework by determining whether an economic activity is environmentally sustainable.
The provisional agreement on the EU Taxonomy Regulation also establishes terms like ‘transition’ and ‘enabling’ activity.