The EU Modernisation Directive (2003/51/EG) was transposed in Germany through the Bilanzrechtsreformgesetz (BilReG) and has led to amendments to §§ 289 and 315 HGB (Germany’s commercial code). Beyond this Directive, the BilReG also demands reporting about chances for future developments, in addition to risk reporting to enhance the quality of the management report and to allow for target/performance comparisons. Effective for financial years beginning after December 31, 2012, the German Accounting Standard No. 20 ‘Group Management Report’ (GAS 20) amends GAS 15 ‘Management Reporting’. If non-financial performance indicators are used for internal management, quantitative information on these indicators should be provided. Furthermore, it stipulates that whenever a company uses the reported financial and/or non-financial performance indicators internally under the aspect of sustainability, this connection should be explained in the report. Almost all companies of the N100 Germany required to publish a group management report now include non-financial key indicators in their annual reports.
Industry sectors covered by the instrument
Organizations covered by the instrument
All organizations except those in the public sector
Type of instrument
Mandatory or voluntary
The geographical scope