U.S. Impact Investing Alliance Signals Support for ISSB Proposals that Lay the Groundwork for Global Convergence on Sustainability Standards

Last week marked an important milestone for the impact investing community. The U.S. Impact Investing Alliance is encouraged by the emerging global standards on sustainability disclosures, and we believe that the International Sustainability Standards Board’s (ISSB) latest actions lay the groundwork for further progress over time.

Specifically, the Alliance was pleased to write in support of the ISSB’s exposure drafts on general sustainability and climate-related disclosures.

The IFRS Foundation, which sets accounting standards for more than 140 jurisdictions around the world, announced the creation of the ISSB in 2021 to set IFRS Sustainability Disclosure Standards.

The ISSB’s exposure drafts represent a significant step toward standardization of sustainability disclosures and more transparent, accountable and efficient capital markets globally. In particular, the Alliance is pleased to see important areas of alignment between the ISSB’s drafts and the U.S. Securities and Exchange Commission’s (SEC) climate disclosure proposal - both of which adapted the Task Force on Climate-Related Financial Disclosures (TCFD) and the Greenhouse Gas (GHG) Protocol frameworks. Additionally, we are encouraged by the ISSB’s establishment of a working group of jurisdictional representatives to enhance compatibility across international efforts, including the SEC.

The Alliance applauds the ISSB for making meaningful progress toward its founding mission to promote standards that provide a global baseline for consistent sustainability reporting for the benefit of investors.