Legal & Regulatory News
ESAs progress reports on greenwashing
01 June 2023On 1 June 2023, the European Supervisory Authorities (ESAs), including the European Banking Authority (EBA), the European Insurance and Occupational Pensions Authority (EIOPA) and the European Securities and Markets Authority (ESMA) published the following reports on greenwashing in the financial services sector following the European Commission’s request for input related to greenwashing risks and the supervision of sustainable finance policies:
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The EBA's progress report on greenwashing monitoring and supervision (EBA/REP/2023/16) (dated 31 May 2023); |
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EIOPA's progress report on greenwashing (EIOPA-BoS-23/157) (dated 1 June 2023); and |
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ESMA's progress report on greenwashing (ESMA30-1668416927-2498) (dated 31 May 2023). |
In the reports, the ESAs put forward a common high-level understanding of greenwashing applicable to market participants across their respective remits (banking, insurance and pensions, and financial markets) and identify high-risk areas within their respective sectors that are exposed to greenwashing, setting out preliminary remediation actions.
The ESAs are expected to publish their final greenwashing reports in May 2024, setting out final recommendations, including possible changes to the EU regulatory framework.