Latest Developments From The Task Force On Climate-Related Financial Disclosures

The Task Force on Climate-related Financial Disclosures or TCFD, was established by the Financial Stability Board to “improve and increase reporting of climate-related financial information.” The first report was published in 2017 and comprised a set of recommendations on how to disclose climate-related financial considerations. Since then, the focus has been on assisting with the implementation of the recommendations. Sector specific guidance has been developed as well as status reports that track uptake. In mid-October 2021, the latest Status Report was published which assesses uptake, together with two additional documents both of which are updates of the “Implementing the Recommendations of the TCFD report” and “Guidance to assist companies with disclosure of climate-related metrics, targets and transition plans.” We have summarised the latest updates for the South African investor with a focus on the implications for South Africa as a developing nation.