The Australian Treasury department has unveiled its proposed Sustainable Finance Strategy, aimed at facilitating private capital to fund the transition to a net-zero economy. Key components include creating a framework for sustainability-related financial disclosures and net-zero transition plans, establishing a sustainable finance taxonomy, and introducing a labeling system for sustainable investment products. The strategy will begin by focusing on climate-related issues and expand to cover other sustainability-related topics over time. Improving transparency on climate and sustainability is a central objective of the strategy, including a framework for sustainability-related financial disclosures and mandatory climate-related financial disclosure requirements for companies and financial institutions starting as early as 2024.

Source: ESGToday