|
Promoting Responsible Business Conduct (RBC) in the financial sector is vital to building a sustainable global economy. However certain characteristics of the sector, including diverse and extensive business relationships, a complex landscape of regulatory obligations, and the nature of various transactions, can make the practical application of effective due diligence systems challenging.
The OECD Centre for RBC has worked to operationalize RBC due diligence for different financial transactions and actors through developing fit-for-purpose guidance.
News and events
|
|
 5-7 October 2022  Virtual Event
This pioneering annual event convened leading actors across the green finance community to help catalyze and support the transition to a green, low-emissions and climate-resilient global economy.
More information
|
|
|
OECD RBC standards play a key role in the sustainable finance ecosystem
RBC standards play an important role in the context of sustainable finance as they provide authoritative and widely accepted recommendations for identifying, managing and reporting on environmental, social and governance impacts associated with clients or investments.
They have been enshrined in sustainable finance regulation and leading standards and initiatives.
|
Examples of RBC integration in key sustainable finance regulations
- The EU Taxonomy Regulation and South Africa Green Finance Taxonomy both establish a list of environmentally sustainable economic activities and mandate compliance with the MNE Guidelines as minimum social safeguards
- The EU Sustainable Finance Disclosure Regulation (SFDR) introduces transparency rules for financial institutions on the integration of sustainability risks and impacts in their processes and financial products, including reporting on adherence to internationally recognized standards for due diligence, specifically that of the OECD
- The European Central Bank’s guide on supervisory expectations related to climate risk management and disclosure includes recommendations on carrying out due diligence and ensuring compliance with the OECD MNE Guidelines
|
|
RBC referenced in international standards and initiatives on sustainable finance
|
|
RBC or ESG - What's the difference?
"RBC” and “ESG” terminology both relate to environmental, social and governance considerations, which drive and define sustainable finance approaches and activities. “ESG” is commonly used to discuss environmental, social and governance issues which pose financial risks. RBC risks refer specifically to the risks of adverse impacts with respect to issues covered by the OECD Guidelines for Multinational Enterprises — impacts on society (including human rights and labour) and the environment, independent of financial impact to the company itself. In practice, RBC risks can also have financial implications (negative or positive) for the company concerned.
|
Reports and resources
|
