HKICPA welcomes AFRC consultation on sustainability assurance and reaffirms commitment to market readiness

The Hong Kong Institute of Certified Public Accountants (HKICPA) welcomes the Accounting and Financial Reporting Council’s (AFRC) public consultation on the proposed regulatory framework for sustainability assurance in Hong Kong, noting that the initiative represents an important step in strengthening the credibility, consistency and quality of sustainability information in Hong Kong. The HKICPA will actively engage its members, accounting firms and relevant stakeholders, and will submit a formal response to the consultation to reflect industry perspectives and practical implementation considerations.

HKICPA President Stephen Law said, “The consultation is a timely and important step in strengthening Hong Kong’s sustainability reporting ecosystem and reinforcing the city’s position as an international financial centre aligned with global standards. As the statutory accountancy body in Hong Kong, the HKICPA stands ready to contribute its professional expertise to support the development of a robust, credible and internationally consistent sustainability assurance framework, supporting Hong Kong’s transition towards a more sustainable and resilient economy”

Over the past few years, the HKICPA has taken proactive steps to support the development of sustainability reporting and assurance practices in Hong Kong, guided by the Government’s Roadmap on Sustainability Disclosure in Hong Kong. These efforts include the publication of the Hong Kong sustainability disclosure and assurance standards, namely HKFRS S1 General Requirements for Disclosure of Sustainability-related Financial Information and HKFRS S2 Climate-related Disclosures, as well as the HKSSA 5000 (General Requirements for Sustainability Assurance Engagements) and the Ethics Standards for Sustainability Assurance (ESSA), providing a strong technical foundation for the market.

To support effective implementation of the abovementioned standards, the HKICPA issued practical guidance on HKFRS S1 and S2, ESG Assurance Reporting Technical Bulletin - AATB 5, and established an online implementation platform to address common application issues faced by disclosure preparers and practitioners.

On the capacity building aspect, the HKICPA launched the Certificate on Sustainability Reporting Programme this year to empower professionals and companies with essential knowledge and skills for implementing HKFRS S1 and S2. Sustainability assurance-focused webinars and workshops, and over 20 sustainability-related CPD programmes in 2025 were also organized to deliver structured training of sustainability-related knowledge. To enhance the preparedness of the accounting practitioners, sustainability and ESG contents were embedded across the Institute’s Qualification Programme (QP).

Looking ahead, the HKICPA will continue to be guided by the Government’s Roadmap and work closely with various stakeholders to contribute towards the development of a comprehensive sustainability disclosure ecosystem in Hong Kong.

^{The Hong Kong Institute of Certified Public Accountants (HKICPA) welcomes the Accounting and Financial Reporting Council’s (AFRC) public consultation on the proposed regulatory framework for sustainability assurance in Hong Kong, noting that the initiative represents an important step in strengthening the credibility, consistency and quality of sustainability information in Hong Kong.}