In its communication dated 20 April 2023, the CSSF recently drew attention to several publications related to sustainability-related disclosures in the financial services sector. These publications include Regulation (EU) 2019/2088 – SFDR, Commission Delegated Regulation (EU) 2022/1288 (the SFDR RTS), and Regulation (EU) 2020/852 – the EU Taxonomy Regulation.

  1. The European Commission adopted a third set of Q&As on the interpretation of SFDR, published by the ESAs on 14 April 2023. The first and second sets of Q&As were adopted and published by the ESAs in July 2021 and May 2022, respectively. The third set of Q&As includes amendments to the first and second Q&As.
  2. The European Commission also published two draft delegated acts relating to the EU Taxonomy Regulation on 5 April 2023. The first draft delegated act provides a new set of technical screening criteria for four environmental objectives, including sustainable use and protection of water and marine resources, the transition to a circular economy, pollution prevention and control, and protection and restoration of biodiversity and ecosystems. It also includes amendments to the Taxonomy Disclosures Delegated Act. The second draft delegated act adds or complements the technical screening criteria for climate change mitigation for certain economic activities in the transport and manufacturing sectors. The draft delegated acts are open for feedback until 3 May 2023.
  3. Furthermore, the ESAs published a consultation paper on a proposed review of the SFDR RTS regarding PAI and financial product disclosures on 12 April 2023. The consultation period will be open until 4 July 2023.

In light of these recent publications and developments, financial services firms operating within the European Union must ensure that they are compliant with all relevant regulations and delegated acts. Firms should also stay abreast of any updates or changes to these regulations and delegated acts and adapt their compliance programs accordingly.

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