21 Oct 2022
Sustainable finance refers to the process of taking environmental, social and governance (ESG) considerations into account when making investment decisions in the financial sector, leading to longer-term investments in sustainable economic activities and projects. Environmental considerations can include climate change mitigation and adaptation, as well as the wider environment, such as biodiversity conservation, pollution prevention and the circular economy. Social considerations can relate to issues
of inequality, inclusion, employment relations, investment in human capital and communities, and human rights issues.
Sustainable finance has a key role to play in realizing the European Green Deal as well as the European Union`s international commitments regarding climate and sustainability goals. Achieving these goals is by channeling private investment towards a climate-neutral, sustainable, resource-efficient and fair economy, as a complement to public funds.
The Financial Supervision Commission informs the participants of the financial markets that, as of 01.01.2023, a package of European regulations related to the implementation of the Green Deal will be applied, which introduce new obligations for the participants of the financial markets, as follows:
- Regulation (EU) 2020/852 of the European Parliament and of the Council of June 18, 2020 to create a framework to facilitate sustainable investments and to amend Regulation (EU) 2019/2088 with regard to the environmental objectives specified in Art. 9, letters “c” – “f” of the same act;
- Delegated Regulation (EU) 2021/2178 of the Commission of 6 July 2021 amending Regulation (EU) 2020/852 of the European Parliament and of the Council by determining the content and presentation of the information to be disclosed by the undertakings covered from Article 19a or 29a of Directive 2013/34/EU, with regard to environmentally sustainable economic activities, and by determining the methodology for fulfilling this disclosure obligation;
- Delegated Regulation (EU) 2022/1288 of the Commission of April 6, 2022 amending Regulation (EU) 2019/2088 of the European Parliament and of the Council with regard to the regulatory technical standards, which determine in detail the content and manner of presentation of the information in relation to the principle of doing no significant harm and defining the content, methodologies and presentation of information in relation to sustainability indicators and adverse impacts on sustainability, as well as the content and presentation of information in relation to the advertising of environmental or social characteristics and objectives on sustainable investment in pre-contractual documents, websites and periodic reports.