Report from IISD, BSG and UNEP-FI Demand an Integrated Standard of Reporting
The report issued jointly by the International Institute for Sustainable Development, the Blended Capital Group and the United Nations Environment Programme Finance Initiative has looked into the lessons that have been learned during the global economic and financial downturn. The report has further suggested numerous recommendations in addition to an integrated standard of reporting.
The report gives and insight into the advancements and developments that were made at the time of economic and financial crisis that started from year 2007 and lasted till the year 2012 and further highlighted how the economies had responded during the crisis period. It also pointed out some of the areas pertaining to re-engineering of the finance system globally. However, the report had issues with the focus on short term results and further clarified that few initiatives as well as response of the policy to the matters identified were not from the financial downturn.
The report also criticized the convergence of global accounting framework and noted that efforts related to introduction of IFRS as an accounting standard have not succeeded and even the accounting professionals have come to terms with the fact. In their report all the bodies have presented a total of four recommendations in the form of propositions. In their first proposition, they have expressed the desire for building an insight into how regulators of market, international financing organizations and policy makers can boost and support responsible investment and inclusive financial approaches.
Secondly, they have recommended that a body for monitoring purpose should be set up so that it is able to ensure that financial architecture globally is managed via fiduciary principles that are sustainable. The three bodies have also recommended that an investigation should be conducted to find out the reason why pension investment (long term) hasn’t given rise to a financial framework, which is able to serve the interests of the savers and further supports sustainability globally.
They have also recommended that the work related to building of the Integrated Reporting Committee should be continued so that transparency can be promoted in the commercial and financial organization’s operations. They have requested for the creation of a protocol that would take into consideration all the entities that have been listed in over fifty stock exchanges across the world.