News News Flash - Regulation on the disclosure of sustainability-related information in the financial services sector 06/01/2020

Regulation (EU) 2019/2019 on the disclosure of sustainability-related information in the financial services sector was published on 27 November 2019.

This Regulation is based on the need to ensure the competitiveness of the EU economy in the long term by transitioning to a more sustainable and resource-efficient circular and low-carbon economy, in line with the objectives of sustainable development expressed in the UN's "Agenda 2030 for Sustainable Development", as well as the so-called "Paris Agreement", which seeks to strengthen the response to climate change, in particular by making financial flows consistent with a consistent towards low-emission development of greenhouse gases and climate change-resilient.

It should be stressed, however, that, under Regulation 2019/2088, "sustainability factors" refer not only to environmental issues, but also social, labour, respect for human rights and the fight against corruption and bribery.

The European legislature considered that, in the absence of harmonised Union rules, different legislative approaches would continue to exist in each of the countries and financial services sectors, causing significant distortions of competition, as well as investment decisions, thus making the Regulation now necessary.

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