SFC welcomes SEHK’s conclusions on climate-related disclosure requirements for listed companies

The Securities and Futures Commission (SFC) has expressed its approval of the Stock Exchange of Hong Kong Limited’s (SEHK) consultation conclusions on enhancing climate-related disclosure requirements for listed companies in Hong Kong. These new requirements, to be implemented in phases starting from 1 January 2025, mark the first step towards aligning local sustainability disclosure standards with the International Sustainability Standards Board’s (ISSB) IFRS Sustainability Disclosure Standards. The SFC views this as a significant move towards developing a comprehensive sustainability disclosure ecosystem in Hong Kong. SEHK has also released an Implementation Guidance to support listed companies in meeting the new requirements. According to Ms. Julia Leung, the SFC’s Chief Executive Officer, the climate-related disclosure regime will enable Hong Kong-listed companies to communicate effectively with investors and capital markets using the common language of the ISSB. The new regime has been carefully designed, taking into account the majority of Hong Kong-listed companies that operate in Mainland China and Asia. By providing relevant and comparable information on climate-related matters, the disclosure requirements will cater to the needs of investors as sustainable finance gains momentum in Asia, reinforcing Hong Kong’s position as a leading international sustainable finance center. The SFC is committed to collaborating with the government, SEHK, and other stakeholders to establish ISSB-aligned sustainability reporting standards in Hong Kong. Resources: https://apps.sfc.hk/edistributionWeb/gateway/EN/news-and-announcements/news/doc?refNo=24PR71