When separated by country, the index of companies that consider they have an ESG strategy, Mexico is one of the countries with one of the higher percentages with 64%, only behind Peru with 66%.
Colombia, Mexico, Costa Rica and Peru show the highest percentages of companies who consider that they have a ESG strategy. This may be a result of the first three countries being members of the OECD and have a significant presence of companies with activities in global markets or headquarters in other countries, which may cause greater requirements in the management of ESG issues.
The term ESG stands for environmental, social and governance criteria. ESG and sustainability are often used interchangeably and focus on studying and disclosing the impacts that economic activities have on their operating environment.
According to the most recent EY studies on the matter, management of environmental risks and social were the most relevant during 2022 for avoid the loss of principal.
Data from the OECD, BlackRock and the World Economic Fund shows that by having an ESG strategy integrated into all aspects of the organization, long-term value creation initiatives tend to be more successful.
This is because this type of strategy allows organizations to: create new sources of income; increase operational efficiency and reduce costs; drive innovation in products and services; reduce negative external factors; improve resilience against disruptive forces, in addition to understanding and meeting stakeholder expectations.