The connection between combatting climate change and sustainable financing emerges as a new paradigm in Azerbaijan, a host country for the upcoming global COP29 climate conference.
In collaboration with the Central Bank and ACCA, EY Azerbaijan facilitated the Workshop on Sustainable Finance and Disclosures in Azerbaijan, held on Wednesday, April 3, 2024. The workshop’s primary objective was to provide insights into sustainability disclosure standards, focusing particularly on ISSB IFRS S1 and S2 standards, covering general requirements for disclosing sustainability-related financial information and climate-related matters.
The workshop attracted over 100 participants from diverse sectors, including finance and banking, energy, transportation, as well as public agencies and institutions, the Chamber of Auditors of Azerbaijan, the British Embassy in Baku, the Public Oversight, Accounting and Auditing Standards Authority (KGK, Türkiye).
Notable highlights of the event included the keynotes shared by representatives from the Ministry of Economy and the Ministry of Finance of the Republic of Azerbaijan, Sustainability Disclosure training delivered by ISSB, ACCA and EY representatives, as well as presentations on upskilling finance professionals and preparing businesses for a more sustainable future.
EY is actively engaged in supporting initiatives that promote sustainability in Azerbaijan. By equipping organizations with essential knowledge and tools needed to integrate sustainability practices into their strategies, EY is laying the foundation for a more prosperous future for the growing generations.
Vikas Aggarwal, Regional Head of Public Affairs at ACCA, stated: ‘ACCA is delighted with the high level of participation in the Workshop on Sustainable Finance. The engagement and enthusiasm demonstrated by participants underscore the growing importance of sustainable finance in Azerbaijan. And this also resonates with the commitment for sustainable development on the eve of the upcoming COP29 in Azerbaijan. We are confident that the knowledge shared during this workshop will contribute to driving positive change and promoting sustainable finance practices in Azerbaijan. ACCA extends its gratitude to all participants, speakers, and partners for their valuable contributions to the success of the workshop’.
Rustam Tahirov, the Director of the Financial Stability Department at the Central Bank of Azerbaijan (CBAR) believes that for positive sustainable growth, cooperation is the key.
“The CBAR, as the safeguard of the financial stability in the country, is deeply committed to supporting financial sector in their transformative journey towards sustainability. We truly believe that, within collaborative efforts we can drive a positive change and inspire financial community to pursue sustainability goals. This workshop will make a huge contribution in this regard”.
Viktor Kovalenko, EY Partner and Head of Climate Change and Sustainability Services in Caucasus, Central Asia and Ukraine, noted the following: “We see a significant growth of our clients’ interest to development of sustainability and ESG disclosures, estimation of their carbon footprint, implementation of ESG and climate risk management, etc. The international standards IFRS S1 and S2 I believe are the great tool to be applied by companies for these matters. EY is here and ready to continue advisory support to Azerbaijani companies in implementation of sustainability and ESG matters, as well as to support state bodies with policy advise on these matters”.
Fikret Huseynov, EY Manager at Climate Change and Sustainability Services mentioned the following: “The emergence of IFRS S1 and S2 standards reflects a growing stakeholder and particularly - investors and regulators’ - interest in sustainability disclosures. EY has the relevant sectoral expertise in climate change and sustainability to advise businesses and institutions on achieving and maintaining sustainable and inclusive growth, managing their regulatory impacts, mitigating climate change risks, as well as disclosing their climate performance data such as carbon footprint.”.
As remarked by Susanne Draeger, Strategic Affairs Director, IFRS Foundation: “Today’s workshop has been a great opportunity to discuss the opportunities and challenges involved with implementing the ISSB Standards. The IFRS Foundation is committed to supporting the implementation of these new standards so that they can deliver a global baseline of sustainability-related disclosures for the capital markets. My thanks to ACCA, the Central Bank of the Republic of Azerbaijan and EY for organizing today’s important event.”
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