Disclosure of environmentally sustainable economic activities (Reg 2020/852)

This regulation sets the standards for how companies must report their environmentally sustainable economic activities. It ensures that information provided by businesses is consistent, transparent, and comparable, helping investors and the public understand a company's actual impact on the environment.

Large companies and certain financial institutions are affected. They must follow specific methodologies to disclose their sustainable activities, making it easier to identify 'green' investments and prevent misleading environmental claims.