The EU has put in place the building blocks for a sustainable finance framework and stakeholders are now pointing out to the remaining market inefficiencies and regulatory gaps, which have the potential to hinder the development of the EU financial market. Many concerns have been raised with regards to the functioning of the ESG ratings market. In June 2013, the Commission adopted a Regulation with the aim to bring further transparency and integrity on ESG rating activities. The proposal is primarily based on the set of recommendations for ESG rating providers and regulators published by the International Organization of Securities Commissions in November 2021. This session aims to present the Commission’s proposal and to detail further the objectives and how it fits in the broader sustainable finance agenda and work ongoing at international level.
