Nigeria, Oct. 28 -- The implementation of IFRS S1 and S2 must not be approached strictly from a regulatory compliance perspective. Rather, it should lead to a change in a responsible business behaviour. For there to be this change, sustainability practices must be integrated and embedded in an entity's operations. Today I want to provide more clarification and guidance on this.

One of the documents in the Financial Reporting Council's (FRC) Phase Two implementation, requires an entity to identify all Sustainability Related Risks and Opportunities (SRROs) that could reasonably be expected to affect its prospect and carry out a materiality assessment of each identified SRRO. The materiality assessment enables the entity to zero in on those...