Beyond the GAAP no.195 - january 2025
As companies subject to the reporting requirements of the Corporate Sustainability Reporting Directive (CSRD) in 2025 prepare to publish their first sustainability statements in accordance with ESRS, the European Commission has published the “Competitiveness Compass” for the EU, its roadmap for the next five years. The Compass aims among other things to reduce the regulatory and administrative burden for companies. This “unprecedented simplification effort” should affect the CSRD, the Taxonomy Regulation and the Corporate Sustainability Due Diligence Directive (CSDDD). The related “Omnibus proposal” should be known on 26 February.
On the financial reporting front, the statement of cash flows will be a key topic going forward for the IASB. The international standard-setter has started discussions on the Statement of Cash Flows and Related Matters project, which was launched following the third public consultation on its work plan for 2022-2026, with a particular focus on the impact of the new IFRS 18 standard.
IFRS highlights:
- IASB starts discussions on Statement of Cash Flows project
- IFRS Foundation publishes guide to “climate-first” approach
- EC publishes a “Competitiveness Compass” for the EU including simplification of sustainability reporting requirements
- Transition plans: EU Platform on Sustainable Finance publishes recommendations
The disclosures presented are not exhaustive as the IASB publications and its advisory bodies but intend to emphasize the main highlights.
