The WFE is calling on forward-looking, innovative, regulators, governments and related bodies to take urgent and coordinated action to address cross-border fragmentation in sustainability regulation, for the benefit of investors, issuers and the exchanges that serve them.
For these businesses, international divergence on sustainability regulation, compounded by contradictory political headwinds and regulatory reversals in the run-up to compliance deadlines, creates significant costs and undermines their ability to manage compliance obligations efficiently. Where fragmented regulation exists, it hinders global growth by duplicating costs, erecting barriers to cross-border expansion, and diverting capital away from substantive sustainable outcomes toward formal compliance.