Finance Watch letter to the European Commission on sustainable corporate governance

17 December 2021

Open letter

In a letter dated 15 December 2021 and addressed to Commission President, Ursula von der Leyen, Vice-Presidents Jourová and Šefčovič, and Commissioners Reynders and Breton, Finance Watch expressed its concerns over the future and level of ambition of a legislative proposal on sustainable corporate governance.

Finance Watch is particularly concerned over the second rejection of the impact assessment for the proposal by the Regulatory Scrutiny Board (RSB) and the reasons behind it. The level of ambition of the future proposal should not be reduced as a result of this rejection.

A legislative proposal to incorporate sustainability in corporate governance is indispensable to set the incentives and obligations for companies to transition towards a sustainable economy. Without this initiative, the European Union risks falling short of its objective to transition to a sustainable and inclusive economy that works for people.