New IDB partnership to fast-track sustainability disclosures across the Caribbean

The Inter-American Development Bank (IDB), IDB Invest and the IFRS Foundation have entered a strategic partnership to boost the adoption of the IFRS Sustainability Disclosure Standards across Latin America and the Caribbean.

Announced through a Memorandum of Understanding, the agreement aims to speed up implementation of the International Sustainability Standards Board’s (ISSB) framework. This set of globally recognised standards offers a baseline for sustainability-related disclosures, helping capital markets assess climate and sustainability risks more effectively.

This initiative will support both public and private institutions across the region by delivering a structured action plan focused on knowledge sharing, capacity building and policy engagement. It comes at a time of growing momentum for ESG disclosures in the region, with a clear appetite from authorities and investors for consistent and transparent reporting.

IDB president Ilan Goldfajn said, “The IFRS standards help issuers, investors and regulators make informed decisions and align incentives. Transparency builds trust. This partnership is about accelerating the adoption process across the region and help in its implementation.”

The agreement outlines three core focus areas. Under knowledge sharing, the partnership will develop a policy paper on the benefits of IFRS adoption, pilot a self-assessment tool for private banks and deliver a regional case study. Capacity building efforts will target both regulators and private institutions, helping them improve sustainability and climate risk disclosures. In the area of advocacy and policy engagement, the project will provide tailored technical assistance and host policy discussions to guide implementation across the region.

IFRS Foundation managing director Michel Madelain said, “Public authorities across Latin America and the Caribbean have signalled their belief that IFRS Sustainability Disclosure Standards can help strengthen capital markets, enhancing transparency and understanding around sustainability-related risks and opportunities. Our partnership with the Inter-American Development Bank Group, will deliver to these markets critical support to benefit from the full potential of effective sustainability-related disclosure in the region.”

In addition to supporting external stakeholders, the IDB has also committed to aligning its own sustainability disclosures with the IFRS standards, developing a multi-year roadmap to guide its internal transition.

This regional push reflects growing global alignment around the IFRS standards as the benchmark for consistent, investor-focused sustainability disclosures.

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