ESG implementation and disclosure as a governance mechanism

Purpose This study aims to examine how environmental, social and governance (ESG) implementation is constructed and governed within Brazilian credit cooperatives, with particular emphasis on disclosure as a governance mechanism. Design/methodology/approach Adopting a qualitative multiple case study design, the research draws on 19 in-depth interviews with senior managers across five credit cooperatives. Data were analysed using an inductive coding approach, allowing analytical categories to emerge from the empirical material while being informed by the literature on ESG, disclosure and corporate governance. Findings ESG implementation unfolds as a process shaped by regulatory pressures, cooperative principles and organisational capabilities. Disclosure emerges not merely as a reporting output, but as a recursive governance mechanism that connects strategic planning, accountability, performance monitoring and stakeholder engagement. Originality/value The study develops an empirically grounded analytical framework that explains how disclosure-oriented governance practices contribute to the formalisation and stabilisation of ESG initiatives in cooperative financial institutions. By focusing on an underexplored organisational form and an emerging economy context, the article contributes to the disclosure and governance literature. It offers practical insights for managers and regulators seeking to strengthen ESG governance through disclosure-driven processes.