International Financial Reporting Standards Foundation’s ISSB agrees to propose an IFRS Practice Statement on nature-related disclosures with exposure draft planned for October 2026

The International Financial Reporting Standards Foundation’s International Sustainability Standards Board (ISSB) agreed at its April board meeting in Beijing to propose requirements for nature-related disclosures through an IFRS Practice Statement. The proposed guidance would complement IFRS S1 General Requirements for Disclosure of Sustainability-related Financial Information and IFRS S2 Climate-related Disclosures, without changing the requirements in the ISSB Standards. The ISSB Standards already require companies to disclose material information about all sustainability-related risks and opportunities, including nature-related matters that could reasonably be expected to affect a company’s prospects. When nature-related risks and opportunities must be disclosed under IFRS S1, the Practice Statement would explain how to provide those disclosures, drawing on the Taskforce on Nature-related Financial Disclosures (TNFD) framework; the ISSB positioned this approach as limiting disruption while jurisdictions and companies implement and adopt the ISSB Standards. Applying the Practice Statement would have the full effect of an ISSB Standard for companies applying it, while also providing a pathway to a standard-based outcome in the future. An exposure draft is planned for public comment in October 2026, including stakeholder feedback on the proposed requirements and on whether an IFRS Practice Statement is the appropriate form of standard-setting for nature-related disclosures.