Analysis of the EU Commission’s Proposal to Review the SFDR

EUKI project Company Climate Transition strengthens the capacity of companies in Poland, Czech Republic, Slovakia, Romania, and Bulgaria to develop and implement ambitious climate transition plans. It supports alignment with EU regulatory requirements and promotes the integration of greenhouse gas reduction targets into corporate strategies.

The publication Analysis of the European Commission’s Proposal to Review the Sustainable Finance Disclosure Regulation (SFDR) assesses how the reform could improve transparency, comparability and credibility of sustainable financial products, thereby enabling more informed investment decisions and mobilising private capital for the green transition.

It examines proposed changes, including new product categories, updated disclosure requirements and a narrower scope. The report highlights key shortcomings, such as vague sustainability criteria, weak standardisation, low thresholds and regulatory loopholes, and offers recommendations to strengthen the framework, including clearer criteria, mandatory impact indicators and stricter rules to reduce greenwashing.