Overview of TSRS
Introduced: December 29, 2023
Effective from: January 1, 2024
Last modified: February 2024 (transitional relief notice)
Region(s): Türkiye
About TSRS
Türkiye has officially adopted the IFRS Sustainability Disclosure Standards by transposing IFRS S1 and S2 into TSRS 1 & 2 Mandatory Sustainability Standards.
These are now mandatory for large public-interest entities, including most banks and listed companies.
The standards require double materiality, climate scenario analysis, full Scope 1-3 GHG emissions reporting, and external assurance—positioning Türkiye among the first emerging markets with full-scope, audit-backed sustainability reporting.
Criteria for compliance
- All banks (excluding SDIF-owned banks)
- Public-interest entities meeting 2 of 3 thresholds for two consecutive years:
- ≥ ₺500 million in total assets
- ≥ ₺1 billion in annual revenue
- ≥ 250 employees
- Includes most listed companies, insurers, and investment firms
Compliance timeline
FY 2024
First reporting year (published in 2025)
FY 2025
Scope 3 disclosures and comparative period data become mandatory
Reports issued in 2026
First year requiring reasonable assurance audit
Disclosure requirements
Full TSRS 1 & 2 alignment including:
- Double materiality
- Governance, risk management, and ESG-linked strategy
- Metrics and targets across all material ESG topics
- Scope 1, 2, and material Scope 3 GHG emissions
- Scenario analysis and science-aligned transition plans
Filing to the Public Oversight, Accounting and Auditing Standards Authority (KGK) is required and the report must also be published publicly.
Key obligations
- Publish a separate sustainability report within 9 months of fiscal year-end
- Submit report to the Public Oversight Authority (KGK)
- Host report on corporate website
- Board-level approval and governance oversight required
Third-party assurance
Reasonable assurance required from FY 2025 reports (published in 2026). Auditors must be licensed by KGK and the audit must comply with ISSA 5000 and ISAE 3000 standards.
Penalties for non-compliance
- Triple-price penalties under Türkiye’s Emissions Trading Scheme (ETS)
- Administrative fines from KGK
- Risk of delisting, reputational fallout, and criminal liability for misstatements or non-disclosure
