Brazil adopts ISSB’s IFRS Sustainability Disclosure Standards
Keywords: Mazars, Thailand, Sustainability, IFRS, ISSB, Framework, Climate,ฺ Brazil
Since these two standards were published at the end of June 2023, Brazil has been the first country to announce its formal decision to adopt IFRS S1 and S2.
This move coincides with discussions between the IFRS Foundation Trustees and representatives of the region's key stakeholders (in particular financial institutions) on the need to build a more resilient, sustainable and competitive financial environment in Latin America given the increasing climate risk in these markets.
This approach is also in line with a series of initiatives launched by a number of jurisdictions in the region to standardise sustainability-related financial disclosures. Both Chile and Colombia have mandated use of the Task Force on Climate-Related Financial Disclosures (TCFD) recommendations and SASB Standards, which the ISSB's Standards build upon. Public discussions are also ongoing in Mexico concerning the adoption of IFRS Sustainability Disclosure Standards.