South Korea Mandates Climate Disclosure for Large Cap Companies from 2028, Expands to 3,000+ Firms by 2029

According to a government policy announced on July 8, 2026, South Korea will require KOSPI-listed companies with assets of 10 trillion won or more to disclose climate-related risks, financial impacts, and greenhouse gas emissions starting in 2028. The mandatory climate disclosure framework, stricter than initial proposals, will expand to companies with 5 trillion won in assets by 2029, covering over 3,000 firms including subsidiaries. Third-party verification will be mandatory from 2030 onwards.

The move aligns with global private equity practices. Major PE firms including EQT and Carlyle have already integrated physical climate risks into investment due diligence and valuation frameworks, with EQT collecting climate data on over 23,000 infrastructure assets since 2024. Korea's National Pension Service, the largest LP in domestic PE markets, will strengthen ESG evaluation criteria for fund managers and assign "ESG tags" to operators actively incorporating climate considerations, directly influencing GP assessments.