|Author (Corporate)||European Commission: DG Financial Stability Financial Services and Capital Markets Union|
|Series Details||COM (2018) 353|
Legislative initiative published by the European Commission in May 2018, which sets criteria for determining whether an economic activity is environmentally sustainable. It also sets out a process involving a multi-stakeholder platform to establish a unified EU classification system (or taxonomy) based on a set of specific criteria.
Step by step, the Commission aims to identify activities which qualify as 'sustainable', taking into account existing market practices and initiatives and drawing on the advice of a technical expert group that was set up alongside the launch of this proposal. The proposed Regulation is part of package of measures on sustainable development, following up on an Action Plan on Sustainable Finance released in March 2018 which aims to boost the role of finance in achieving a well-performing economy that delivers on environmental and social goals as well.
The proposal was put forward by the European Commission on 24 May 2018 as part of a legislative package on sustainable finance. The European Parliament adopted its position on the draft law on 28 March 2019, followed by the Council of the European Union on 25 September. An informal agreement between the co-legislators on a compromise text was reached on 16 December. The Council formally endorsed it on 15 April 2020.
|Subject Categories||Economic and Financial Affairs, Environment|
|Subject Tags||Capital Markets Union [CMU], Sustainable Development|
|International Organisations||European Union [EU]|