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Chile enters the 2026 regulatory cycle with one of the more advanced environmental, social, and governance (ESG) landscapes in Latin America. Results from RSM’s 2025 Latin America ESG Landscape survey, conducted with over 250 organisations across the region, position Chile as a country setting the pace in governance formalisation, climate prioritisation, and disclosure maturity.
The findings show a business community that has moved beyond awareness and into structured implementation. High levels of public reporting, strong governance oversight, and near-universal prioritisation of climate issues reflect meaningful progress. At the same time, regulatory complexity, data quality constraints, and the technical demands of IFRS S1 and S2 signal that the next stage of leadership will require deeper integration of ESG into financial and strategic decision-making.
This executive summary highlights Chile’s competitive strengths, identifies structural gaps, and outlines the strategic actions organisations should prioritise to consolidate their regional leadership and strengthen international credibility in 2026.
1. ESG reporting and disclosure
Key findings
- 41.9% of Chilean companies prioritise ESG reporting and disclosure, significantly above the regional average of 26.5%.
- 61.3% already publish public ESG reports, nearly double the regional average of 34.3%.
- 45.2% face challenges responding to multiple regulatory standards (vs. 33.3% regionally).
- 6.5% identify reporting quality as a key issue.
Strategic implications
Chile leads the region in disclosure maturity and transparency. The high percentage of companies producing public reports reflects a strong cultural and regulatory commitment to accountability.
However, regulatory complexity is increasing. The growing challenge of complying with multiple frameworks highlights the need for harmonisation, improved data governance, and enhanced internal controls.
With IFRS S1 and S2 approaching mandatory implementation, Chilean organisations must shift from volume-driven reporting to financially integrated disclosure. Aligning ESG key performance indicators (KPIs) with financial performance will improve comparability, strengthen investor confidence, and potentially reduce the cost of capital.
Leadership in 2026 will depend on demonstrating that disclosures reflect strategic transformation rather than standalone sustainability reporting.
2. Corporate governance and ESG risk management
Key findings
- 54.84% of Chilean companies prioritise corporate governance.
- 61.29% prioritise ESG risk management.
- Combined, 80.65% prioritise at least one of these areas, exceeding the regional average of 72.86%.
- Regulatory frameworks such as NCG 461 and NCG 519 are driving governance strengthening and IFRS preparedness.
Strategic implications
Chile shows strong institutional progress in formalising ESG governance structures and IFRS preparedness, driven partially by regulatory frameworks such as NCG 461 and NCG 519. Boards are increasingly integrating sustainability into oversight mechanisms and risk management frameworks.
Looking ahead to 2026, governance is expected to become more operational and strategic. Boards will formalise ESG mandates, strengthen internal controls, and embed diversity, equity, and inclusion (DEI) considerations within oversight responsibilities. Integrated reporting will further link sustainability with capital allocation and long-term value creation.
This governance maturity strengthens resilience and enhances credibility with investors and key stakeholders.
3. Climate strategy and greenhouse gas (GHG) reduction
Key findings
- 93.6% of Chilean companies prioritise climate change, GHG emissions reduction, and climate risks, compared to 75.5% regionally.
- Prioritisation of GHG emissions has increased by 28 percentage points since 2024, reaching 64.52% in 2025.
Strategic implications
Chile significantly exceeds the regional average in climate prioritisation, demonstrating a strong commitment to decarbonisation and climate resilience.
Despite progress, measurement and traceability remain critical challenges. IFRS S2 will require climate scenario analyses aligned with 1.5°C pathways and quantified transition plans with financial impact assessments.
Embedding climate action into business models, capital expenditure planning, and operational strategy, can enhance resilience, secure sustainable financing, and strengthen global competitiveness for Chilean organisations.
4. Structural gaps: Regulatory complexity, data governance, and technical capabilities
Key findings
- 41.94% of Chilean companies report being “IFRS-ready”, compared to the LATAM average of 26.63%.
- 35.48% face challenges in measuring ESG KPIs.
- 29.03% cite lack of technical skills as a constraint.
Strategic implications
Chile leads the region in IFRS readiness, reflecting the positive impact of national regulatory frameworks
However, KPI measurement challenges and capability gaps highlight the need for investment in ESG systems and technical expertise. As IFRS S1 and S2 require robust internal controls and comparable metrics, organisations should prioritise:
- Automation of ESG data collection
- Strong data governance frameworks
- Technical training across finance, risk, and sustainability functions
- External assurance readiness
Technical maturity will become a decisive factor in securing financing, maintaining regulatory compliance, and strengthening corporate reputation.
5. Stakeholder expectations and data quality
Key findings
- Corporate governance drives demand for sustainability information (64.52%).
- Customers follow closely (54.84%).
Strategic implications
Sustainability has become a board-level priority in Chile. Internal leadership demand for ESG information signals strategic integration rather than external compliance alone.
Data quality is becoming the key differentiator. Organisations that connect risks and opportunities with auditable metrics, clear targets, and financial performance stand to gain stakeholder trust and improved access to capital.
6. Sector perspectives: ESG progress by industry
Key findings
Financial and professional services
- Leads in corporate governance prioritisation (≈85%).
- Significant growth in ESG risk management (≈+15% to ≈75%).
Manufacturing
- Strong increase in prioritising GHG emissions (≈35% → ≈70%).
- Climate change prioritisation increased from ≈0% → ≈40%.
Energy
- Major growth in prioritising GHG emissions (≈40% → ≈80%).
- Climate prioritisation increased from ≈10% → ≈50%.
Retail
- ESG risk management increased significantly (≈25% → ≈50%).
- Slower progress on climate and emissions.
Key considerations for Chilean businesses in 2026
Accelerating IFRS S1/S2 readiness
Despite strong IFRS preparedness (41.94%), regulatory complexity remains high. Companies could undertake targeted gap analyses against NCG 461/519, align ESG KPIs with financial materiality, and strengthen board oversight of sustainability disclosures to support smooth implementation by 2026.
Strengthening ESG data governance
With 35.48% reporting KPI measurement challenges, improving data quality remains an important consideration. Organisations may benefit from centralising ESG data, automating emissions tracking, assigning clear accountability for metrics, and preparing for external assurance to enhance credibility and comparability.
Turning climate ambition into transition plans
With 93.6% prioritising climate, attention is increasingly shifting towards execution. This may include setting measurable and attainable GHG reduction targets, integrating climate risks into enterprise risk management, and linking transition plans to capital allocation and operational strategy.
Closing technical capability gaps
As 29.03% cite skills constraints, organisations may find value in further developing expertise across finance and risk teams in areas such as IFRS S1/S2, climate scenario analysis, and GHG accounting to strengthen internal capabilities and assurance readiness.
Making governance operational
Strong governance prioritisation increasingly calls for practical implementation. This could involve embedding ESG oversight at board level, integrating ESG metrics into executive performance frameworks, and strengthening regular reporting on risk exposure and mitigation progress.
Leveraging sector leadership
Manufacturing, energy, and financial services are advancing ESG integration. Leading organisations could consider benchmarking globally, publishing sector-specific transition plans, and using ESG maturity to support improved access to sustainable finance.
