All large undertakings and parent companies of large groups that are public interest entities by virtue of being issuers whose securities are listed on a regulated market of any Member State, credit institution, insurance company or reinsurance company and that exceed the criterion of an average number of 500 employees during the previous business year on the balance sheet date are obliged to report on sustainability for the business year starting on or after 1 January 2024. According to the Accounting Act, these entities are the first to start reporting on sustainability under the new legislative framework based on the CSRD Directive.
In this first round, other undertakings that are public interest entities, regardless of being large undertakings and that exceed the criterion of an average number of 500 employees during the previous business year on the balance sheet date, are exempt from the obligation to report on sustainability. These entrepreneurs, as well as all other large entrepreneurs and parent companies of large groups, will become obliged to report on sustainability in the second round, for the business year starting on or after 1 January 2025. An informative list of those obliged to report on sustainability for reporting in 2026 (for the business year 2025) is available on the website of the Ministry of Finance RH.
https://mfin.gov.hr/istaknute-teme/bankarstvo-racunovodstvo-i-revizija-111/izvjestavanje-o-odrzivosti/3648
What is important is to be aware that this process will ultimately connect the entire process, which includes the obligation to report according to uniform standards, connect financial institutions and sustainable financing, but also cascading obligations through the supply chain and due diligence of all participants involved.
