On 18 December 2019, the European Banking Authority (EBA) published a report on undue short-term pressures from the financial sector on corporations. The report is in response to the call for advice from the European Commission as part of its Action Plan, Financing Sustainable Growth, and will inform policy actions that could be taken to ensure that long-term perspectives are adequately considered in the financial sector.

In the report the EBA sets out certain policy recommendations that include:

• fostering the adoption of longer-term perspectives by institutions through more explicit legal provisions on sustainability in the CRD IV; and
• continuing to enhance disclosures of long-term risks and opportunities, by both corporations and banks, by setting principles and requirements that can ensure comparability and reliability of disclosure, for example through amendments to the Non-Financial Reporting Directive.