This study conducts an analysis of the disclosure of information related to ESG (Environmental, Social, and Governance) by banks focused on automotive financing in Brazil. The growing importance of corporate sustainability, regulated by initiatives such as the International Sustainability Standards Board (ISSB) and other international frameworks, highlights the need for banks to adopt transparent practices aligned with the global market. The research evaluates how major Brazilian financial institutions, as well as banks dedicated to the automotive sector, are implementing, and disclosing their ESG practices in official reports. Qualitative and deductive analytical methods are employed to examine ESG data disclosures, with particular attention to the quality of information provided. The study reveals a substantial difference between large banks classified under the Central Bank of Brazil's systemic risk framework (S1 and S2) and smaller banks (S3), in terms of the maturity of ESG disclosures. Emphasis is placed on actions related to climate risk, gender equity, and sustainability. The research also discusses the impact of these practices on governance and the financial performance of the institutions and suggests that the adoption of international standards such as IFRS S1 and S2, and CBPS S1 and S2, may contribute to greater transparency and comparability in disclosed data.

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An Evaluation of Esg Reporting Practices in Banks Holding Automotive Financing Portfolios

  • Leonardo Bucsan Emrich,
  • Liliane Cristina Segura

摘要

This study conducts an analysis of the disclosure of information related to ESG (Environmental, Social, and Governance) by banks focused on automotive financing in Brazil. The growing importance of corporate sustainability, regulated by initiatives such as the International Sustainability Standards Board (ISSB) and other international frameworks, highlights the need for banks to adopt transparent practices aligned with the global market. The research evaluates how major Brazilian financial institutions, as well as banks dedicated to the automotive sector, are implementing, and disclosing their ESG practices in official reports. Qualitative and deductive analytical methods are employed to examine ESG data disclosures, with particular attention to the quality of information provided. The study reveals a substantial difference between large banks classified under the Central Bank of Brazil's systemic risk framework (S1 and S2) and smaller banks (S3), in terms of the maturity of ESG disclosures. Emphasis is placed on actions related to climate risk, gender equity, and sustainability. The research also discusses the impact of these practices on governance and the financial performance of the institutions and suggests that the adoption of international standards such as IFRS S1 and S2, and CBPS S1 and S2, may contribute to greater transparency and comparability in disclosed data.