GRI 203: Indirect Economic Impacts 2016 sets out reporting requirements on the topic of indirect economic impacts. This Standard can be used by an organization of any size, type, sector or geographic location that wants to report on its impacts related to this topic.
In the context of the GRI Standards, the economic dimension of sustainability concerns an organization’s impacts on the economic conditions of its stakeholders. It also concerns an organization’s impacts on economic systems at the local, national, and global level. It does not focus on the financial condition of an organization.
The Standards in the Economic series (200) address the flow of capital among different stakeholders, and the main economic impacts of an organization throughout society.
An economic impact can be defined as a change in the productive potential of the economy that has an influence on a community’s or stakeholder’s well-being and longer-term prospects for development. GRI 203 addresses indirect economic impacts, which are the additional consequences of the direct impact of financial transactions and the flow of money between an organization and its stakeholders. GRI 203 also addresses the impacts of an organization’s infrastructure investments and services supported.
Indirect economic impacts can be monetary or non-monetary, and are particularly important to assess in relation to local communities and regional economies.
The disclosures in this Standard can provide information about an organization’s indirect economic impacts, and how it manages them.
Effective date: 1 July 2018
GRI 203: Indirect Economic Impacts
1. Management approach disclosures
2. Topic-specific disclosures
Disclosure 203-1 Infrastructure investments and services supported
Disclosure 203-2 Significant indirect economic impacts