The Warsaw Stock Exchange in partnership with the European Bank for Reconstruction and Development has published the ESG reporting Guidelines, an ESG reporting manual for listed issuers which structures and organises relevant guidelines and recommendations. Effective management of environmental, social and governance factors has been gaining prominence over the years under growing pressure of the environment including evolving expectations of investors and the financial industry, legislative amendments and rising awareness of the general public. Other key drivers include new business opportunities, such as growing demand for sustainable products and services, the aspiration of businesses to be an attractive employer, as well as changing customer behaviour.
"Having joined the United Nations Sustainable Stock Exchanges initiative as a member in 2013, and signed up to the United Nations Global Compact in 2020, Warsaw Stock Exchange wants to play key role in promoting responsible investment and ESG integration across the Polish and Central & Eastern Europe capital markets" - Izabela Olszewska, Member of the GPW Management Board.
The ESG reporting Guidelines for GPW Listed Companies have been prepared in line with national and European Union regulations, including the Accountancy Act implementing the Non-Financial Reporting Directive and the Directive itself (NFRD/CSRD), the Sustainable Finance Disclosure Regulation (SFDR) and the EU Taxonomy Regulation at EU level, as well as the recommendations of the Task Force on Climate-related Financial Disclosures (TCFD) at the global level. The Guidelines are also based on the top corporate governance standards defined in the Best Practice for GPW Listed Companies 2021.
“As one of key ESG initiatives, we support issuers’ non-financial reporting. This is why we are publishing the ESG reporting Guidelines for GPW Listed Companies which provide hands-on tips and solutions based on recognised international non-financial reporting standards. The Guidelines have been designed with the contribution of many capital market institutions which understand the imperative of raising the standards of ESG reporting. I wish to thank the EBRD, Steward Redqueen and all other institutions which have contributed to the Guidelines for their commitment and for sharing their expertise and experience. The Guidelines will provide small and mid-sized companies with a roadmap for measuring their impact on the environment while defining a code of good practice for market leaders,” said Izabela Olszewska, Member of the GPW Management Board.
From the international perspective, the Guidelines will strengthen the position of the Polish capital market and investor interest in companies listed on GPW. Investors need to know how well companies are prepared to manage ESG factors, which may become a precondition of access to capital. Improved quality of ESG reporting will support economic transition in line with the sustainable development goals.
“The EBRD is committed to supporting Poland in its transition to a low carbon and climate resilient economy in line with the EU sustainability finance considerations. In 2020, more than two-thirds of our investment in Poland was green. As part of our country policy engagement, we are pleased to have been able to support our partner GPW in developing the Guidelines. This work takes into account the increased demand from investors for consistent and comparable ESG company data and integrates the key principles of the EU sustainable finance framework. The Guidelines aim at supporting the transition to a climate-neutral, green, competitive and inclusive economy and position GPW as a sustainability leader in the region. We look forward to supporting capital markets and our clients with Corporate Sustainability Reporting in the future,”- said Grzegorz Zielinski Director, Regional Head of Central Europe and Baltics, at EBRD.
The ESG reporting Guidelines for GPW Listed Companies explain why ESG disclosures are important, what they really are, and how to start reporting. However, reporting is a complex process as there is no one-size-fits-all approach. With a view to stakeholders’ needs, companies need to find solutions that best fit their business models and business segments. The Guidelines describe the process step by step from a practical perspective.
Read the ESG reporting Guidelines here.
Part of a global trend
GPW joins a group of now 59 stock exchanges around the world that have written guidance on ESG reporting. The SSE ESG Guidance Database contains a comprehensive list of all stock exchange ESG guidance documents in the world so that other stock exchanges can learn from their peers. The database is updated to include an analysis of major ESG reporting instruments referenced in stock exchange guidance documents. To learn more, check our press release about the new database.
