The ranking evaluates the performance of 13 countries in sustainable finance, climate innovation, corporate transparency, and sustainability education.
By JOSÉ ÁNGEL DE LA PAZ | EGADE BUSINESS SCHOOL
EGADE Business School at Tecnológico de Monterrey has introduced the Latin American Corporate Sustainability Index: Private Sector Analysis, a study that assesses sustainability progress in the region’s business sector.
The index was developed by a group of EGADE Business School faculty researchers, including Boyd Cohen, Christiane Molina Brockmann, Eduardo Aguiñaga Maldonado, Carlos Vargas, and Pablo Necoechea, the regional director of EGADE Business School in Mexico City and Querétaro.
This analysis ranks 13 Latin American countries based on their performance in corporate transparency, climate innovation, sustainable finance, and sustainability education.
COSTA RICA, URUGUAY, AND CHILE LEAD IN SUSTAINABILITY
The index results place Costa Rica as the leading country in corporate sustainability, followed by Uruguay and Chile. According to the Green Future Index, these nations excel in renewable energy, with more than 95% of their electricity generated from clean sources.
Mexico ranks seventh, showing progress in solar and wind energy but facing key challenges in regulation, access to sustainable financing, and standardization of ESG metrics.
The full ranking of the index is as follows:
- Costa Rica (9.08)
- Uruguay (9.07)
- Chile (7.23)
- Brazil (5.80)
- Colombia (3.02)
- Panama (2.39)
- Mexico (2.29)
- Ecuador (0.95)
- Argentina (-0.06)
- Peru (-1.00)
- Bolivia (-1.48)
- Guatemala (-3.51)
- Dominican Republic (-4.56)
"Mexican companies have increased their commitment to sustainability, but there is still room for improvement in integrating exponential technologies and regenerative business models, as well as ensuring equitable access to green financing", stated Boyd Cohen, director of the Master in Sustainable Business at EGADE Business School and leader of the research team behind the index.
TRANSPARENCY, CLIMATE INNOVATION, AND SUSTAINABLE FINANCE
The study reveals that countries with the highest number of companies reporting their environmental impact to the Carbon Disclosure Project (CDP) and adhering to the UN Global Compact have demonstrated a stronger commitment to sustainability.
Regarding climate innovation, Brazil and Chile lead in clean technology startups, while Mexico stands out in solar and wind energy, though its innovation ecosystem for energy transition remains in development.
The index also highlights Brazil's, Mexico's, and Colombia's progress in issuing green bonds and adopting ESG criteria. However, regulatory challenges and the lack of standardized sustainability metrics persist, limiting investors' and regulators’ ability to assess environmental and social risks.
SUSTAINABILITY EDUCATION REMAINS A CHALLENGE
The study underscores the need to strengthen sustainability education in Latin America. Brazil, Colombia, and Mexico lead in institutions affiliated with the Principles for Responsible Management Education (PRME), yet the integration of sustainability into business curricula remains limited.
"The future of corporate sustainability in Latin America will depend on countries' ability to establish strong regulatory frameworks, boost green financing, and promote sustainability education", Cohen affirmed.
The index was presented at EGADE Business School in Monterrey during the launch of the new Master in Sustainable Business, a program designed to equip leaders with the skills to integrate sustainability into business strategies.
The event also featured the panel discussion "Success Stories in Corporate Sustainability Management," with participation from Jimena Marván, executive director and co-founder of Chapter Zero Mexico; Marianela Santos, CEO of Kalpa Ventures and president of the Corporate Social Responsibility Committee of the American Chamber of Commerce Monterrey; and Vicente Saiso, global vice president of Sustainability at CEMEX.
Data from internationally recognized sources were analyzed to develop the index. The study considered B Corps certifications, which assess companies’ commitment to sustainability, as well as climate change and carbon management reports from CDP. It also incorporated data from Crunchbase on climate technology startups, the Green Future Index, which evaluates countries’ progress toward a green economy, and the Labour Rights Index, which measures labour rights standards across nations.
Additionally, the study included indicators from the Principles for Responsible Investment (PRI) and assessed business schools' participation in responsible education through PRME. It also reviewed companies that have adopted the UN Global Compact's sustainability principles and organizations affiliated with the World Business Council for Sustainable Development (WBCSD).
For more information about the Master in Sustainable Business, click here.