The International Finance Corporation (IFC), a member of the World Bank Group, has signed a Memorandum of Understanding (MoU) with the IFRS Foundation to form a strategic partnership aimed at strengthening sustainable capital markets through enhanced sustainability and climate reporting in emerging markets and developing economies (EMDEs).
This partnership will focus on implementing programmes that promote and build capacity for the consistent application of the IFRS Sustainability Disclosure Standards across EMDEs. Key initiatives include developing toolkits, producing research publications, and conducting training programmes to encourage sustainability reporting. The partnership will also offer technical assistance and tailored support to help jurisdictions adopt and implement these standards effectively.
“Today marks a pivotal moment as we join forces with the IFRS Foundation in advancing sustainability and climate reporting,” said Martine Valcin, IFC Global Manager, Corporate Governance and ESG Advisory, Knowledge and Learning. “Our combined efforts are set to drive significant strides in standardizing and enhancing transparency, ensuring that EMDEs are not left behind in the global shift towards sustainable finance.”
This collaboration builds on IFC’s initiatives like the Beyond the Balance Sheet programme and the Sustainable Banking and Finance Network (SBFN). The Beyond the Balance Sheet programme has been pivotal in providing advisory services to improve sustainability and climate-related reporting in EMDEs, aligning with the new IFRS Sustainability Disclosure Standards and the European Sustainability Reporting Standards. The Sustainable Banking and Finance Network (SBFN), facilitated by IFC as its secretariat, is a global knowledge-sharing and capacity-building platform on sustainable finance for financial sector regulators and industry associations in EMDEs.
This partnership underscores a commitment to future-proof financial markets against environmental risks, support the private sector in evolving towards more resilient business models, and promote the transparency that global investors and stakeholders increasingly demand.
