G7 Finance Ministers and Central Bank Governors Meeting Discussing Corporate Climate Change Information Disclosure

The G7 = Finance Ministers and Central Bank Governors' Meetings of the seven major countries were held online to discuss requiring companies in each country to disclose their management strategies and risks related to climate change.

After the meeting, Deputy Prime Minister and Minister of Finance Aso emphasized the significance of encouraging companies to disclose information and expressed his intention to continue discussions.

The G7 Finance Ministers and Central Bank Governors' meeting was held online on the night of the 28th, and was attended by Deputy Prime Minister and Finance Minister Aso and BOJ Governor Kuroda from Japan.

At this meeting, discussions were held on requiring companies in each country to disclose their management strategies and risks related to climate change.

After the meeting, Minister Aso told reporters, "What kind of contributions and efforts are being made regarding climate change are becoming one of the factors that determine the value of a company. We are entering an era in which we are evaluated by what we have, "he emphasized the significance of encouraging companies to disclose information.

Regarding the status of discussions at the meeting, he said, "It is not an atmosphere that forces disclosure," and expressed his intention to continue the discussions.

The G7 Finance Ministers' Meeting will be held in the Presidency of the United Kingdom from the 4th of next month to discuss the making of international tax rules.

What is the disclosure of financial information on climate change to companies?

The debate over the disclosure of financial information on climate change to companies, which was the focus of this G7, is in line with the recommendations of an international organization called TCFD = "Task Force on Climate-related Financial Information Disclosure."

TCFD is an organization established in 2015 by the Financial Stability Board, which is attended by central banks and financial authorities of major countries, and requires companies to disclose specific responses to climate change to investors. I am.

Specifically, we recommend that investors disclose management strategies related to climate change, such as efforts to decarbonize, and the risk of loss due to rising temperatures due to global warming.

According to the Ministry of Economy, Trade and Industry, as of 20th of this month, 2134 companies and organizations in the world are in favor of this proposal, of which 396 companies and organizations, which are the largest in Japan, are in favor of this proposal.

In addition, the Financial Services Agency and the Tokyo Stock Exchange will revise the "Corporate Governance Code" next month to increase the transparency of management of listed companies, in line with the TCFD recommendations for companies listed on the First Section of the Tokyo Stock Exchange. We request that information on climate change be properly disclosed.