Aligning India’s Business Responsibility and Sustainability Report with the ISSB Standards: A Comparative Analysis

Abstract

The sustainability reporting space is overcrowded with multiple frameworks. The Environmental, Social and Governance (ESG) is the latest version of sustainability reporting. Multiple ESG reporting frameworks because of varied country requirements, stakeholder needs and mainly due to the fact that ESG reporting initially evolved from being a voluntary form of disclosure rather than a mandatory one. Currently, there is no single standard that applies to the ESG disclosures made by companies. The creation of the International Sustainability Standards Board (ISSB) and the release in June 2023 of IFRS S1 and IFRS S2 has signaled a shift towards standardised global sustainability disclosures. These standards have been accepted by more than 30 jurisdictions, covering over 50% of the world's GDP. The Security and Exchange Board of India (SEBI) has also developed the Business Responsibility and Sustainability Report (BRSR) as well as the ESG-specific BRSR Core. This article compares India's BRSR framework with the ISSB standards. It looks at their origins, structure, climate-related requirements, value chain rules, and assurance procedures. Although both frameworks are based on the TCFD recommendations, they differ on a fundamental issue: for whom is the reporting being done? The BRSR places greater emphasis on real-world impact and the wider needs of stakeholders, while the ISSB concentrates solely on financial materiality for investors It would not be practical or desirable for India to adopt the ISSB standards in full. The more realistic approach moving forward is therefore interoperability—aligning the BRSR with the ISSB's global baseline while at the same time keeping the main domestic priorities.