Climate change | Financial reporting

Global IFRS Institute     |    Sustainability reporting

All companies are facing climate-related risks and opportunities and are making strategic decisions in response – including around their transition to a low-carbon economy.

These climate-related risks and strategic decisions could impact their financial statements – and KPIs.

Our climate change resource centre provides FAQs to help you identify the potential financial statement impacts for your business. If you sit on an audit committee, you can also use our 10 questions for audit committees (PDF 2.2 MB) as a starting point for your impact assessment.

And the blogs and podcasts explore the issues further – including by sector.

You can also keep up to date with the development of the new IFRS^® Sustainability Disclosure Standards on our Sustainability reporting pages.

• How do you account for different forms of government assistance?
  
• Do green bonds contain embedded derivatives?
• Do you have a lease of green technology?
• What are the potential impacts of leasing polluting assets?

• Lessors – How will climate-related risks impact operating and finance leases?
• What's the impact on expected credit losses?
• Do green loans meet the SPPI criterion?

• What’s the impact on the going concern assessment and related disclosures?
• Have you disclosed the impacts of climate-related matters clearly?
  

• Banks' climate-related disclosures

• Does an emissions scheme create an obligation?
• Do contracts between customers and wind farm operators contain leases?

• Net-zero commitments | Impacts on financial reporting
• Generating carbon credits under voluntary schemes
• How do voluntary green schemes work?
• Green initiatives in the airlines industry
  
• Climate related risks – Financial reporting impacts
• Climate change and your financial statements