AFRC Study Advocates for Improved Sustainability Assurance Practices and Urges Auditors to Incorporate Climate Risk in Financial Audits
CPAs holding Practising Certificates, CPA Firms and Corporate Practices can log in to the AFRC’s Online Application System for:
- annual renewal of practising certificates
- annual renewal of CPA Firm, Corporate Practice and PIE Auditor registrations; and
- application for registration as a Registered PIE Auditor.
AFRC Study Advocates for Improved Sustainability Assurance Practices and Urges Auditors to Incorporate Climate Risk in Financial Audits
The AFRC publishes a study on Market Readiness for Sustainability Reporting and Assurance in Hong Kong.
The study focuses on the readiness of listed entities for sustainability reporting and assurance, and the readiness of public interest entity (PIE) auditors to provide sustainability assurance and address climate-related risks in financial audits. This also allows the AFRC to identify areas for capacity-building to support the Government’s roadmap implementation.
The study was conducted in two parts: an analysis of sustainability assurance obtained by 82 listed entities in the Hang Seng Index1 and two surveys on listed entities and PIE auditors regarding their practices and plans.
The study found that
- Listed entities are making strides towards robust climate reporting.
- An increasing number of listed entities are obtaining sustainability assurance to enhance credibility of their disclosures.
- PIE auditors with global networks lead in providing sustainability assurance, with others preparing to follow suit.
- PIE auditors are making progress to assess and address climate risks in financial audits.
1HSI entities as of April 2024
