Governance Briefing — Brazil CVM Resolution 193 sustainability reporting

Executive briefing: On 20 October 2023 the Brazilian Securities and Exchange Commission (CVM) issued Resolution 193, aligning local sustainability reporting with IFRS S1 and IFRS S2. Listed companies must report sustainability information in accordance with these standards for fiscal years beginning on or after 1 January 2026. Boards must oversee governance disclosures, risk management, metrics, and targets consistent with the ISSB framework.

Key governance signals

Board responsibility. Boards must ensure governance disclosures describe oversight, management’s role, and integration of sustainability risks into strategy.
Attestation readiness. Companies should prepare for assurance expectations by documenting controls, data governance, and oversight processes.
Scope. Resolution 193 applies to issuers registered in categories A and B and to investment funds that voluntarily adopt the standards.

Action checklist

Perform a gap assessment comparing current ESG reporting with IFRS S1/S2 requirements, focusing on governance and risk management disclosures.
Integrate sustainability data into internal control frameworks to support future assurance engagements.
Coordinate audit committees and sustainability teams to oversee implementation roadmaps and resource planning.

Enablement moves

Develop board education sessions on ISSB requirements, materiality assessments, and linkage to Brazilian regulatory expectations.
Implement data platforms capturing climate metrics, scenario analysis outputs, and governance evidence.
Engage external assurance providers early to validate readiness and remediation plans.

Sources

Zeph Tech supports Brazilian issuers by harmonising ISSB-aligned governance disclosures, data controls, and assurance plans ahead of the 2026 effective date.