The European Financial Reporting Advisory Group (EFRAG) announced the release of new exposure drafts containing proposed sustainability reporting standards for SMEs. This marks the next step in establishing a new sustainability reporting system in Europe under the EU’s Corporate Sustainability Reporting Directive (CSRD).
The new standards are composed of general sections covering general requirements, general disclosures, and policies, actions and targets, as well as sections detailing metrics for environment, social and business conduct. The standards aim at supporting SMEs in getting better access to financing, in addition to enabling availability of standardized sustainability information.
