BRICS 2026: Decoding The Delhi Declaration And Its ESG Impact

The 18th BRICS Summit held on 12 and 13 September 2026 in New Delhi, India, culminated in the adoption of the Declaration. The Declaration serves as a comprehensive policy document outlining the direction and scope of the future ESG-related regulation and corporate practices across the BRICS countries. It reflects the commitment of the expanded BRICS grouping to advancing sustainability objectives within their respective economies and financial systems. The range of the ESG goals in the Declaration is wide and includes “climate change and gender equity, among many others.” The Declaration presents a more connected view of sustainable development that integrates equity and justice goals with the environment and governance. The implications of the Declaration are particularly significant for India given its role as host of the Summit and BRICS Chair in 2026. Many of the commitments in the Declaration parallel India’s domestic regulatory systems, especially the Securities and Exchange Board of India’s (SEBI) Business Responsibility and Sustainability Reporting (BRSR) framework, the BRSR Core framework, which is applicable to the top 1000 listed entities and the Carbon Credit Trading Scheme (CCTS) under the Energy Conservation Act, 2001. The Declaration supports cross-border partnerships and green investments. It endorses the use of carbon pricing to motivate green investment. Existing policies support these objectives, and the Declaration may accelerate their implementation. The Declaration also supports increased transparency and the use of comparable, standard metrics. SEBI’s initiatives support similar changes. These efforts encourage better ESG disclosure, reduce the risk of greenwashing and enhance investor confidence.

BRICS policies may encourage changes in corporate behaviour in India & other countries in several ways. Companies with operations or supply chains bridging several BRICS member states may be motivated to align their ESG reporting, emissions-reduction targets and nature-positive strategies, and enhance due diligence regarding human rights and labour practices. Financial institutions and managers may incorporate BRICS ESG principles into lending, investment activities and product offerings, especially in energy, infrastructure, agriculture and manufacturing. BRICS partnerships relating to mergers and acquisitions and joint ventures may also encourage review of ESG risks and opportunities, including due diligence relating to climate change, biodiversity and social licence to operate. In the BRICS ESG focus area, Indian companies may benefit from improved access to capital, greater stakeholder trust and enhanced resilience to regulatory and reputational risks.¹

I. Environmental Pillar: Moving Towards Coordinated Climate Action

The Declaration's environmental agenda covers climate finance, carbon markets, biodiversity, forests, circular economy, energy transition and climate resilience. A new development is the BRICS Carbon Markets Partnership MoU. The main goals of the initiative are capacity-building and experience-sharing rather than establishing a framework for mutual recognition of carbon credits. Therefore, India will continue to regulate and administer its domestic carbon market under the Carbon Credit Trading Scheme, 2023. The Declaration's position against unilateral and protectionist carbon-border measures provides political support for India’s position concerning measures such as the European Union’s Carbon Border Adjustment Mechanism (CBAM). A second important component relates to biodiversity and forest conservation. The Declaration supports the Kunming-Montreal Global Biodiversity Framework and welcomes related biodiversity and forest-finance initiatives, along with BRICS initiatives on landscape restoration and wildland-fire management. These developments are relevant to the growing focus on biodiversity and natural-capital disclosures in BRSR and international ESG frameworks. The Declaration also addresses waste reduction and the circular economy and supports Extended Producer Responsibility, eco-design and circularity systems. In the energy sector, BRICS seeks to balance continued short-term dependence on fossil fuels with a commitment towards “just, orderly, equitable and inclusive energy transitions.” The focus includes smart grids, energy storage, hydrogen and critical-minerals supply chains.

Climate resilience is also addressed through early-warning data integration and climate-resilient urban infrastructure, with continued support for India's Coalition for Disaster Resilient Infrastructure (CDRI). Agricultural initiatives, including the proposed BRICS Grain Exchange, AGRIN network and Centres of Excellence on agroecology and regenerative agriculture, additionally connect environmental sustainability with food and supply-chain security.

II. Social Pillar: Health, Labour and Inclusive Development

The social segment of the Declaration highlights the importance of public health. The BRICS nations are working towards universal health coverage and are also in talks regarding the Pathogen Access and Benefit-Sharing Annex to the WHO Global Pandemic Agreement. This is very pertinent for pharmaceutical and life sciences companies involved in international studies and biological resource agreements.² The most notable projects include the BRICS Mission for Healthy Lifestyle (with a roadmap for 2026–2029) and the Centre of Excellence for Mental Health coordinated by NIMHANS. These activities support a broader understanding of the social aspects of ESG. Considerable attention is paid to labour issues and social protection. BRICS CONNECT seeks to strengthen technical cooperation, knowledge exchange and capacity building among BRICS countries, while the Declaration also addresses social protection and the changing world of work. This is particularly relevant to India as it continues to develop social-protection policy.³ Gender inclusion is another key element of the social agenda. The outcomes of the Kochi Women Meeting and the Digital Capacity Building Guidelines for women provide further points of reference for companies seeking to improve ESG indicators linked to gender diversity and women-led initiatives. Moreover, the Declaration connects ESG with education, youth development and the inclusion of MSMEs. Initiatives such as the TVET Cooperation Agreement and the Jaipur Consensus on invoice discounting aim to improve financing opportunities for export-oriented MSMEs. These developments may affect supply-chain due diligence and the inclusive-finance policies of large Indian companies.⁴

III. Governance Pillar: Transparency, Integrity and Institutional Accountability

The issues encompassed under the Governance pillar include anti-corruption, financial integrity, taxation, standardisation, statistical cooperation and institutional accountability. The progress made by the BRICS Anti-Corruption Working Group in setting up its Expert Network on Asset Recovery and a repository for informal cooperation on locating fugitives is an important step towards strengthening cross-border cooperation, corporate investigations and compliance by BRICS-related businesses. The Declaration notes the issue of organised scam networks and cross-border fraud and promotes cooperation among customs authorities, financial-intelligence units and supervisory agencies.⁵ One of the latest priorities in terms of governance is tax transparency, which is manifested in the establishment of new BRICS Working Groups on International Taxation and Transfer Pricing and Statistics and the Declaration’s statement of the fact that progress is being made in cooperation between BRICS standard-setting organizations and the publication of joint statistics by BRICS. The establishment of the Supreme Audit Institutions Work Plan for 2027-2028 and the encouragement of alternative dispute-resolution mechanisms signify further development of the governance landscape in the context of BRICS cooperation.

Key ESG Initiatives

IV. What Does the Declaration Mean for Indian Companies?

Three practical implications follow for ESG advisory work in India. First, in respect of carbon and climate disclosure. As long as mutual recognition of carbon credits does not take effect, India’s carbon-market regulation will remain domestic in nature. Nevertheless, the BRICS Carbon Markets Partnership may provide a forum for capacity building and exchange of experience relevant to future discussions on carbon-market cooperation. At the same time, the Declaration’s opposition to unilateral measures such as CBAM provides political support for India’s position concerning carbon-border measures affecting Indian exporters.

Secondly, in relation to governance and data. Enhanced cooperation in taxation, standardisation and statistics within BRICS may increase expectations regarding the availability of reliable and comparable information. Hence, Indian companies involved in international business may face greater scrutiny concerning tax transparency, data quality and governance disclosures.

Thirdly, with respect to social disclosures. The Declaration creates a framework for Indian companies based on a number of internationally accepted indicators in the areas of gig workers’ social protection, gender equality, women-owned businesses and MSME financing. These developments may influence corporate social disclosures, supply-chain due diligence and inclusive-finance policies in India.

V. The Road Ahead

The importance of the Declaration lies mainly in its ability to create common policy expectations among BRICS economies rather than in imposing directly enforceable obligations on companies. The Declaration does not, by itself, change India’s existing requirements relating to BRSR Core assurance, the CCTS, or labour regulations. Instead, it works alongside these domestic frameworks and provides a broad basis for international cooperation. The initiatives introduced during India’s BRICS Chairship in 2026, such as the Carbon Markets Partnership, Tax Working Groups, BRICS CONNECT, and the Mental Health Centre of Excellence Network, may influence how companies prepare ESG due-diligence questionnaires, respond to requests for proposals, and maintain documentation for cross-border transactions.

Conclusion

The 18th BRICS Declaration signifies a key step in the development of the BRICS ESG framework. Its importance lies in providing a common policy direction regarding climate action, biodiversity, social protection, inclusive growth and accountability. The Declaration indicates that ESG cooperation within BRICS is increasingly being accompanied by efforts to develop more coordinated and measurable policy expectations. In the case of India, the implications are significant. Environmental initiatives concerning carbon markets, biodiversity, energy transition and climate resilience complement India's existing regulatory framework, while social initiatives relating to gig workers, gender inclusion, health care and MSME development broaden the scope of corporate ESG responsibility. Greater BRICS interaction in anti-corruption, taxation, transfer pricing, standards and statistical transparency may also deepen expectations regarding governance reporting. Thus, the immediate effect of the Declaration is not the creation of new corporate liabilities but the gradual formulation of common ESG expectations across BRICS states. The Carbon Markets Partnership, Tax Working Groups, BRICS CONNECT and the Mental Health Centre of Excellence Network are expected to play a relevant role in the development of the BRICS agenda across future Chairships. The Declaration places ESG at the forefront of economic cooperation, corporate-governance practices and cross-border business within BRICS. For Indian companies, proactive alignment with these emerging developments can support regulatory preparedness, improve stakeholder confidence and assist in managing environmental, social and governance issues. Thus, it is important to view the Declaration as a starting point in BRICS cooperation in the sphere of ESG and as a basis for the future development of better-coordinated and potentially more significant ESG standards.

Footnotes

^{1 Prime Minister’s Office, Government of India, ‘BRICS Declaration : Building for Resilience, Innovation, Cooperation and Sustainability’ (Sept. 12, 2026), paras 1–5, available at: https://www.pmindia.gov.in/en/news_updates/brics-new-delhi-declaration-building-for-resilience-innovation-cooperation-and-sustainability-september-12-2026/ (last visited on Sept. 14, 2026).}

^{2 Prime Minister’s Office, Government of India, ‘BRICS New Delhi Declaration: Building for Resilience, Innovation, Cooperation and Sustainability’ (Sept. 12, 2026), paras 50–54, available at: https://www.pmindia.gov.in/en/news_updates/brics-new-delhi-declaration-building-for-resilience-innovation-cooperation-and-sustainability-september-12-2026/ (last visited on Sept. 14, 2026).}

^{3 Press Information Bureau, Government of India, ‘Committed to Ensuring that No Worker is Left Behind: Dr Mansukh Mandaviya at 12th BRICS Labour & Employment Ministers’ Meeting in Hyderabad’ (July 15, 2026), available at: https://www.pib.gov.in/PressReleasePage.aspx?PRID=2284962 (last visited on Sept. 14, 2026).}

^{4 Prime Minister’s Office, Government of India, ‘BRICS New Delhi Declaration: Building for Resilience, Innovation, Cooperation and Sustainability’ (Sept. 12, 2026), paras 85–86, available at: https://www.pmindia.gov.in/en/news_updates/brics-new-delhi-declaration-building-for-resilience-innovation-cooperation-and-sustainability-september-12-2026/ (last visited on Sept. 14, 2026).}

^{5 Prime Minister’s Office, Government of India, ‘BRICS Declaration: Building for Resilience, Innovation, Cooperation and Sustainability’ (Sept. 12, 2026), paras 43, 98, 118–121, available at: https://www.pmindia.gov.in/en/news_updates/brics-new-delhi-declaration-building-for-resilience-innovation-cooperation-and-sustainability-september-12-2026/ (last visited on Sept. 14, 2026).}