Sustainable Investment Awards 2022

Thought leadership paper on sustainable investing, Africa: JSE

The Johannesburg Stock Exchange (JSE) last year launched its Sustainability and Climate Change Disclosure Guidance consultation papers to assist companies navigating the sustainability disclosure landscape, bringing together global best practice and local context relevance.

Primarily aimed at companies listed on its stock exchange, the Climate Disclosure Guidance is based on the Task Force on Climate-related Financial Disclosures (TCFD) framework and the Sustainable Stock Exchange Initiative’s (SSEI) Climate Disclosure Model Guidance.

Aiming to help those companies navigate the reporting standards of global initiatives without being too onerous for South African operators, the JSE Sustainability and Climate Disclosure Guidance takes into account the environmental, social governance (ESG) metrics that are well-established, universal, industry-agnostic and that it believes are material to South Africa.

“The JSE recognises the importance of integrating long-term perspectives in financial markets to reduce socio-economic and physical risks necessary to enhance financial stability and a low carbon economy,” said Leila Fourie, CEO of the JSE.

Though the guidance is not mandatory for JSE-listed companies it aims to promote transparency, good governance and guide listed companies on best practices in sustainability disclosure.

After a consultation period of two months, the JSE released the final guidelines earlier this month.