Last reviewed: November 2026. This brief summarises the sustainability, ESG disclosure and corporate governance landscape in Brazil for boards, sustainability teams and investor-relations professionals. It is an orientation guide, not legal advice.
Rules, thresholds and deadlines change frequently, and several frameworks described here were being revised at the time of writing. Always confirm the current position with the official source (regulator, exchange or ministry) before relying on any requirement.
Overview
Brazil is Latin America's largest capital market and a global reference point in sustainable finance: it was the first jurisdiction to incorporate the ISSB standards into its securities regulation, it has a national sustainable taxonomy and a regulated emissions trading system in development, and it hosted COP30 in Belém in November 2025. Deforestation, land use and agriculture are the dominant sources of national emissions, which shapes investor expectations for companies in agribusiness, food, finance and mining.
Regulators and stock exchange
- CVM (Comissão de Valores Mobiliários) – securities regulator.
- CMN and Banco Central do Brasil (BCB) – set and supervise rules for banks, including social, environmental and climate risk management.
- SUSEP (insurance) and PREVIC (pension funds).
- B3 – the stock exchange, with listing segments such as Novo Mercado that impose higher governance standards.
- CBPS – the Brazilian Sustainability Pronouncements Committee, which issued CBPS 01 and CBPS 02 based on IFRS S1 and S2.
ESG / sustainability disclosure requirements
CVM Resolution 193 (October 2023) incorporated the ISSB standards: voluntary sustainability reports under IFRS S1/S2 from financial years beginning in 2024, and originally mandatory reporting for listed companies from financial years beginning on or after 1 January 2026. On 29 May 2026, CVM Resolution 244 revoked the mandatory phase before it took effect. Listed companies may still publish reports, and those that do must follow IFRS S1 and S2 as adopted through CBPS 01 and 02.
Separately, the CVM's Reference Form (Formulário de Referência), as reformed by CVM Resolution 59 (2021), requires listed companies to disclose ESG information on a comply-or-explain basis, including whether they publish a sustainability report, consider climate risk and disclose GHG emissions and board diversity.
Corporate governance code
The Brazilian Corporate Governance Code – Listed Companies (2016), developed by a working group of market institutions coordinated by IBGC, applies on an apply-or-explain basis: listed companies file an annual report to the CVM explaining their adherence. The IBGC Code of Best Practice of Corporate Governance (6th edition, 2023) is the broader best-practice reference and gives prominence to sustainability. B3's Novo Mercado listing rules add requirements such as independent directors and a single class of voting shares.
Climate commitments
- NDC (November 2024): reduce net greenhouse gas emissions by 59–67% below 2005 levels by 2035.
- Climate neutrality: long-term objective of reaching climate neutrality by 2050.
- Carbon market: Law 15,042/2024 established the Brazilian Greenhouse Gas Emissions Trading System (SBCE), to be phased in over several years.
- Hosted COP30 in Belém (2025).
Sustainable finance
- Sovereign: the National Treasury published a Sovereign Sustainable Bond Framework in 2023 and issued its first sovereign sustainable bond (USD 2 billion) in November 2023.
- Taxonomy: the Brazilian Sustainable Taxonomy (TSB), led by the Ministry of Finance, had its technical content approved in 2025 and was formalised by decree.
- Banking: since 2021, CMN and BCB rules require banks to manage social, environmental and climate risks, maintain a social, environmental and climate responsibility policy and publish related disclosures.
Investor relations practice
Brazil has a mature IR profession, represented by IBRI (Brazilian Institute of Investor Relations). Listed companies must have a designated investor relations officer responsible for disclosure to the CVM and the market. Larger issuers publish results in Portuguese and English, hold quarterly calls and Investor Days, and many have ADRs in the United States. ESG engagement focuses on deforestation-free supply chains, climate transition plans, human rights and governance of controlled companies.
What to watch
- Voluntary IFRS S1/S2 uptake after Resolution 244 and any future CVM move back towards mandatory reporting.
- Implementing regulations for the SBCE emissions trading system.
- Use of the Brazilian Sustainable Taxonomy in labelled bonds, credit and public policy.
- Follow-up of COP30 outcomes and NDC implementation.
Official sources
- CVM – Comissão de Valores Mobiliários
- CVM – Regulations (Normas)
- B3 – Sustainability
- Banco Central do Brasil – Sustainability
- Ministry of Finance – Brazilian Sustainable Taxonomy
- National Treasury – Sovereign Sustainable Bond Framework
- IBRI – Brazilian Institute of Investor Relations
Last reviewed: November 2026. Corprise Knowledge Hub briefs are updated periodically; if you notice a change in the rules, check the official source first.
