Connected News | February

We’re seeing global shifts in the financial industry like never before. Stay Connected with the latest news relevant for navigating through transitional finance - Here, we’ve rounded up some of the key updates from the past month.

China Mandates Sustainability Reporting for Listed Companies

China's major stock exchanges—Shanghai, Shenzhen, and Beijing—have announced new sustainability reporting guidelines, making it mandatory for over 450 larger cap and dual-listed companies to disclose ESG data starting in 2026.?

The move aligns with global trends, including the EU's CSRD and the US SEC's climate disclosure rules, indicating a growing demand for comprehensive ESG reporting.?

Frameworks such as this require industry-leading carbon intelligence solutions,? supporting companies in meeting these requirements and driving sustainable growth.

Source: ESG Today

EU Sets Ambitious Target for Greenhouse Gas Reduction

The European Commission aims to slash the EU's net greenhouse gas pollution by 90% by 2040, signalling a bold step towards climate neutrality. This target, part of the EU's push to become the world’s first climate-neutral continent, underscores the urgency for rapid transition to a clean economy.

This announcement reinforces the importance of our carbon intelligence infrastructure. Our tools empower businesses to track, manage, and report their carbon footprint accurately, aligning with the EU's sustainability goals..

Source: The Guardian?

KPMG Survey Reveals Significant Gap in ESG Reporting Capabilities

A recent survey by KPMG US highlights a substantial gap in ESG reporting capabilities among companies, with nearly half still relying on spreadsheets for managing ESG data.?

Despite intentions to increase investments in ESG-related software and workforce capabilities, many companies face challenges in effectively integrating sustainability goals with overall business objectives.?

Connect Earth's carbon intelligence infrastructure offers a solution to streamline ESG data management and reporting, empowering businesses to make informed decisions and drive sustainable growth.

Source: ESG Today

Barclays Takes A Stand Against Fossil Fuels

Barclays recently announced a significant shift in its funding strategy, pledging to cease direct financing for new oil and gas projects and restricting lending to energy businesses seeking to expand fossil fuel production. While hailed by campaign groups as a step in the right direction, critics argue that the measures fall short of addressing the full extent of the bank's involvement in the fossil fuel sector.

Source: BBC

ECB Study Reveals Banks' Climate Transition Risks

A recent study by the European Central Bank (ECB) has uncovered concerning findings about European banks' exposure to climate transition risks. The study revealed that a staggering 90% of banks' loan portfolios are misaligned with global climate goals and the EU's 2050 climate neutrality target.?

Key sectors like power, automotive, oil & gas, steel, coal, and cement are particularly at risk, highlighting the urgent need for financial institutions to realign their lending practices with sustainable objectives.?

Source: ESG Today?

Regulatory mandates, corporate pledges, and emerging trends underscore the urgent need for comprehensive ESG reporting and sustainable financial practices. At Connect Earth, we're committed to supporting financial organisations, and their customers, in continuing to innovate and collaborate in driving decarbonisation forward.?