What Factors Affect the Issuance of Sustainability Assurance Reports? — Evidence From Americas

This paper examines factors influencing companies in the Americas to issue sustainability and assurance reports, an area gaining recent attention. Examining 4,081 firms with ESG disclosures, we find that 43.64% issued standalone sustainability reports in 2022, with 29% of these externally assured. Our analysis reveals that headquarter location and macroeconomic factors significantly impact reporting likelihood. Logit and OLS regressions show that trade openness, unemployment, inflation, government spending, political rights, and civil liberties positively influence reporting, while innovation, economic freedom, and economic growth have negative effects. This study contributes the existing literature by focusing on the Americas, integrating macroeconomic factors, and uncovering regional assurance differences. The findings offer insights for corporate managers, investors, regulators, and policymakers to navigate sustainability/assurance reporting in a global context.