From structural racism to systemic solutions: racial equity in Brazil's banking industry

Abstract

The objective of this study is to identify and analyze strategies that can be implemented to promote racial inclusion in the Brazilian banking sector. This study proposes a systematized set of sectoral strategies to reduce racial inequality in the Brazilian banking sector, called "Systemic Strategies for Racial Equity." This integrated, industry-specific approach has not previously been listed in the literature, offering a new perspective on implementing diversity policies, not just at an organizational level, but considering the industry as a whole. The qualitative research uses the case study strategy, focusing specifically on the Brazilian banking sector. Data collection procedures include semi-structured interviews with representatives of banking institutions, regulatory entities, and justice bodies, in addition to the analysis of institutional documents and secondary data. Data analysis follows the methodology of Gioia, Corley, and Hamilton (2013), involving first—and second-order coding to identify emerging themes, culminating in the aggregation of these dimensions into a theoretical model. Three main sectoral strategies were identified: the Legal Compliance Strategy, the Social Pressure Strategy, and the Recognized Excellence Strategy, which form the set of "Systemic Strategies for Racial Equity." Notably, these are not individual business strategies but sectoral ones that must be implemented and led by government institutions, regulators, or society. This study offers a theoretical contribution by proposing a systematized set of sectoral strategies to reduce racial inequality in the Brazilian banking sector. Socially, the research encourages discussion about the need for greater racial equity, highlighting the importance of comprehensive policies beyond isolated company actions.