Connectivity between Financial Reporting and Sustainability Reporting

EFRAG has released a video with the EFRAG Connectivity Advisory Panel (EFRAG CAP) leaders sharing the main takeaways from the recently published EFRAG connectivity project initial paper, “Connectivity considerations and boundaries of different Annual Report sections”.

"As part of the EFRAG proactive research project, Connectivity between financial and sustainability reporting, EFRAG has published an initial paper “Connectivity considerations and boundaries of different Annual Report sections”. The paper lays out the conceptual foundations, categories and benefits of connectivity, a relatively new concept (i.e., not in Conceptual Framework for Financial Reporting), which has been introduced within mandatory sustainability reporting requirements (i.e., ESRS for EU entities and ISSB Standards for entities in adopting countries). The paper also analyses reporting boundaries across different Annual Report sections and points to several grey areas on the location of information. It suggests steps to enhance connectivity and lessen the expectation gaps around reporting boundaries. A short version is also available."

​​EFRAG FR TEG approved the composition of the EFRAG Connectivity Advisory Panel (EFRAG CAP) and welcomed the establishment of the EFRAG Connectivity Community.