The International Auditing and Assurance Standards Board (IAASB) and the International Ethics Standards Board for Accountants (IESBA) today announced a significant step forward in the global efforts to strengthen sustainability reporting and assurance. The two boards have unveiled an integrated package of standards designed to advance transparency, trust, and accountability in sustainability information.
This collaboration results in two key standards: the IAASB’s ISSA 5000 and the IESBA’s IESSA. Together, these standards provide a unified approach to the growing demand for trustworthy sustainability information, ensuring that companies and practitioners can meet evolving market and regulatory demands.
Key Features of the New Standards The new standards offer a clear framework for sustainability reporting and assurance, focusing on ethical behavior, transparency, and the credibility of the reported data. Among their shared goals, the standards aim to:
- Equip global markets with a cohesive package of standards for sustainability assurance.
- Offer a baseline approach that aligns with global regulatory expectations.
- Provide a framework-neutral structure applicable across all sustainability reporting frameworks.
- Promote informed decision-making based on independently assured sustainability information.
- Mitigate risks like greenwashing and non-compliance with legal regulations.
A Unified Vision for Transparency “This effort represents an important evolution in global sustainability reporting and assurance,” said Tom Seidenstein, Chair of the IAASB. “These standards will empower practitioners to consistently perform high-quality assurance engagements, ensuring the credibility of sustainability data.”
Gabriela Figueiredo Dias, Chair of the IESBA, emphasized the importance of ethics in sustainability reporting, stating, “These standards provide the tools needed to uphold integrity and foster transparency, setting a global standard for accountability and professionalism in sustainability reporting.”
Effective Dates and Next Steps The new standards will take effect for periods starting on or after December 15, 2026, with early adoption encouraged. The IAASB and IESBA will provide ongoing support, including webinars, guides, and implementation monitoring, to assist stakeholders in adopting the standards smoothly.
Additional Information
- ISSA 5000: The IAASB’s ISSA 5000 provides a framework for conducting assurance engagements on sustainability information. It enhances the reliability and transparency of sustainability data and is adaptable to regional regulatory requirements like the EU’s Corporate Sustainability Reporting Directive (CSRD).
- IESSA: The IESBA’s standards establish a strong ethical foundation for sustainability assurance, addressing challenges such as immature data, ethical risks, and independence issues in sustainability reporting.
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