Sustainability measurement & disclosure

European Financial Reporting Advisory Group (EFRAG)

Meaning statusEstablishedSource recordDirect document linkedWhy these are different

Definition

The European Financial Reporting Advisory Group (EFRAG) is a body serving the European public interest in corporate reporting, established in 2001. It operates two pillars: a financial reporting pillar advising the European Commission on IFRS endorsement, and a sustainability reporting pillar — added in its 2022 reorganisation — that develops draft European Sustainability Reporting Standards (ESRS) and amendments for adoption by the Commission.

References

EFRAGAbout EFRAG — mission, two pillars

mandate, pillar structure

IAS PlusEFRAG SRB — composition and role in ESRS development

SRB/SR TEG responsibilities, due process

Ecobio ManagerEFRAG and the ESRS — 2001 establishment, 2022 reorganisation

history, ESRS development role

Overview

What it means

Within the sustainability pillar, the EFRAG Sustainability Reporting Board (SRB) holds responsibility for technical advice on draft ESRS, supported by a technical expert group (SR TEG), and works through public due process. EFRAG also issues implementation guidance and maintains the ESRS knowledge infrastructure, and in 2025–2026 delivered the technical advice behind the simplified ESRS revision.

How it is used

Its technical advice becomes EU law via delegated acts; companies and auditors use its implementation guidance for CSRD reporting.

Why it matters

EFRAG is the technical engine of EU sustainability standard-setting — the EU counterpart to the ISSB.