The Taiwan Stock Exchange (TWSE) has announced it will be the first country in the Asia-Pacific region to implement mandatory CSR reporting.
The exchange says the system will follow the Global Reporting Initiative G4 principles confirming that a list of specified companies, most notably from the food and beverage business, will begin compulsory corporate social responsibility reporting from 2015.
Sectors which fall under the new system include food processing, financial and chemical sectors and companies which have over 50 per cent of their total revenue coming from food and beverage businesses.
“TWSE is delighted that more and more companies see the value of CSR development and reporting,” said Lee Sush-der, Chairman of TWSE and head of the Advisory Committee of the Corporate Governance Center.
“We believe fostering quality, corporate transparency and growth potential of Taiwan’s capital market will attract more investors looking for sustainable investment opportunities. By enhancing the reporting standards in conformity with international best-practices, Taiwan will promote an environment where firms can better manage their future development and risks.”
Large enterprises which have paid-in capital of $310 million and above will also be subject to the rules. The move follows new processes and rules announced by Taiwan’s Financial Supervision Commission and codified by TWSE in January 2015.