Changes are coming to corporate loans – banks are scrutinizing companies due to sustainability risks
Starting this year, fundamental changes have come into effect in the field of corporate obligations related to sustainability, i.e. ESG, which will affect all domestic companies in some way.
While the sustainability reporting obligation is known to a significant number of large companies, the sustainability screening of their suppliers appears as a new task for many of them, and companies applying for loans will soon be subject to a similar procedure by the banks. In addition, the new legislation aimed at transposing the EU cyber security directives imposes obligations on many domestic companies already this year. Failure to comply with the requirements can have serious consequences, but according to international business and tax consulting firm Grant Thornton, companies should still fulfill their obligations, as this can provide them with a competitive advantage.
In the last days of last year, the Parliament adopted the ESG or sustainability law, a domestic regulation aimed at encouraging sustainable financing and corporate responsibility, and the Magyar Nemzeti Bank started the professional consultation of the minimum sustainability questionnaire with players in the financial sector.
However, while the obligations defined by the ESG Act effective from 2024, especially the requirement to prepare a sustainability report, are known to a significant part of the stakeholders, the supplier due diligence and the MNB’s minimum ESG questionnaire, which currently exists in the form of a draft, have so far received less attention, even though this imposes additional new obligations on a wide range of domestic companies.
Related news
Three SPAR supermarkets have been renovated and made more energy efficient, with a total investment of HUF 736 million
SPAR Hungary has invested a total of HUF 736 million…
Read more >The Auchan store in Debrecen has been renovated
In the future, one of Debrecen’s favorite shopping places, the…
Read more >The future of multi-use packaging – what should the commercial sector prepare for?
On April 24, 2024, the European Parliament issued a legislative…
Read more >Related news
KSH: In the third quarter, the economic performance decreased by 0.7 percent compared to the same period of the previous year
The volume of Hungary’s gross domestic product (GDP) in the…
Read more >Animal Processing in 2024: Increasing Pork and Poultry Slaughter, Decreasing Cattle and Sheep Processing
In the first three quarters of 2024, animal processing data…
Read more >Home renovation: a new opportunity with the SZÉP card
According to the government’s decision, from 2025, 50% of the…
Read more >