Policy 15 January 2026

Introduction of Impact in SFDR

Impact Finance Belgium (IFB) welcomes the European Commission’s proposal to revise the SFDR and, for the first time, explicitly recognise impactinvesting within the EU’s sustainable finance framework.

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SFDR: A major step forward for impact investing in Europe

Impact Finance Belgium (IFB) welcomes the European Commission’s proposal to revise the SFDR and, for the first time, explicitly recognise impactinvesting within the EU’s sustainable finance framework.

The proposal introduces three new product categories:

➡️ Sustainable Products,

➡️ Transition Products, and

➡️ ESG Products.

Only the first two categories will be able to claim the “impact product” designation. This provides a clear regulatory home for impact strategies within the EU framework.

This marks a significant milestone:

✔️ Impact investing is officially recognised as a distinct practice in EU legislation.

✔️ Investors gain more clarity and confidence, with transparent expectations on intentionality, measurement, management and reporting of impact.

As highlighted in our joint statement, this dedicated space within the Sustainable and Transition categories creates the right foundation to scale impact investing and mobilise capital where it matters most.

At IFB, we celebrate this important progress. We remain fully committed to engaging with Belgian and European institutions to ensure the final text maintains strong provisions for impact and supports the growth of meaningful, outcome-driven strategies.

A decisive step forward for Belgium’s and Europe’s impact community.

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