A report from the Mexican consulting firm Ernest Young has found that 64 per cent of Mexican companies have an ESG strategy, compared to 58 per cent of companies throughout the rest of Latin America.
According to the research, Mexico, Colombia, and Costa Rice were the most advanced when it comes to ESG, owing to local public policies, international commitment, and pressure from trading partners with operations in countries where there are more strict sustainability requirements.
However, Ernest Young, noted, the research is also impacted as the definitely of ESG and sustainability may vary across Latin America.
Interestingly, companies in Latin America perceive climate change as the least urgent pillar of their ESG strategy. Only 48 per cent of Mexican leaders (vs. 36 per cent of business leaders across the region) considered climate change issues a current concern for their organization. Zooming in, 72 per cent of companies in Mexico (vs. 65 per cent at the regional level) have implemented energy transition actions – and 66 per cent at the national level (vs. 59 per cent in Latin America) have implemented circular economy actions.