European politicians ruled that thousands of firms must reveal their performance as corporate citizens. Around 6,000 firms across the European Union will have to provide details on how they tackle issues such as bribery and human rights. New law might help investors in their search for companies with good environmental, social and governance track records. However, the rules do not prescribe the information to be given. The draft had proposed applying the rules to 17,000 listed and unlisted companies, but it was scaled back following complaints from businesses. Previously, United Nations-backed Principles for Responsible Investment Initiative, signed by 1200 asset owners, investment managers and service providers managing nearly $35 trillion around the globe, marked first steps towards sustainable investing. Newly proposed EU legislation still needs to be approved by EU member states.
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9th July 2021