As a firm we have a strong commitment to our corporate sustainability principles, and this year we joined the United Nations Global Compact, an initiative dedicated to promoting responsible business practices and advancing the United Nations Sustainable Development Goals (SDGs). Our goals include Education, gender equality, climate action, justice for all, and sustainable partnerships. You can learn about our actions plans and targets, here.
In this edition, we feature an entire section dedicated to COP28 where we share insights and intelligence through conversations we have had with leading experts from across the region. This includes articles and podcasts that delve into the most pertinent topics, such as COP28’s call to action for corporates, ESG reporting, and the UAE’s Net Zero vision.
Beyond the focus on Energy and Climate we feature articles covering important updates that look into a variety of areas, such as UAE consumer protection law, an overview of the Federal Civil Family Law for Non-Muslim Foreigners in the UAE, and from Kuwait we discuss the management of companies. As always, in our final section we continue to share with you real life judgements that provide context to the legal landscape in the region.Read the full edition
Following the teaser of the imminent implementation of the ADGM Sustainable Finance Regulatory Framework (the “Framework”) during the Legislative Update Session held on 21 June 2023, the Financial Services Regulatory Authority (“FSRA”) announced that the Framework has now come into effect as of 4 July 2023.
The Framework provides for a green labelling system for funds, bonds, and sukuks as well as establishes the region’s most comprehensive ESG disclosure requirements. This underlying policy is a significant step towards asserting the ADGM’s position as a sustainable finance hub and mobilizing capital investment for a local carbon transition and net zero economy.
The implementation of the Framework follows suit the significant feedback from stakeholders and industry support that the FSRA has received in response to Consultation Paper No. 6 of 2022 (please click here to read the Feedback Statement).
The Feedback Statement highlights the key differences between the proposed legislative and regulatory changes as outlined in Consultation No. 6 of 2022 and the Framework. These include the following:
The ADGM has committed to a periodic review of the Framework and to consider its further enhancements. Notably, post-implementation of the Framework the ADGM will assess companies’ readiness to set a date for moving from a ‘comply or explain’ ESG disclosure model to a mandatory ESG disclosure requirement in the future.
The Framework features amongst the ADGM’s series of regulatory initiatives to promote sustainable finance solutions and increase investor confidence in green and sustainability-linked investments in this steadily expanding market.
At Al Tamimi & Company we are well equipped to advise fund managers, issuers, investors, and other companies on the Framework’s green labelling system and ESG disclosure requirements.