SUSTAINABILITY

Climate change. On February 7, representatives of the Latin American Development Bank (CAF) and the technical team of the General Directorate for Inter-institutional Relations of Paraguay gave a progress report on the “Green Climate Financing Facility for Local Financial Institutions in Latin America”. This is a regional initiative which seeks to mobilize the financial sector by promoting credit lines to prioritize energy efficiency and sustainable land use. It is expected that Paraguay will deepen the implementation of the program in the short term, as CAF will continue to drive this agenda throughout the region during 2020. 

The overall objective of the program is to reduce greenhouse gas emissions through climate change projects which are locally developed and financed. The proposal is of a regional nature, and involves Paraguay, Chile, Ecuador, Panama, Peru and Uruguay. 

The project also complements the Energy Efficiency Project being run by the Inter-American Development Bank (IDB) and the Development Finance Agency (DFA), whose main objective is to help small and medium-sized enterprises in the industrial sector. 

Next steps

Representatives from the Latin American Development Bank (CAF) and the technical team from Paraguay’s General Directorate for Inter-institutional Relations analyzed progress in the design of the regional financing proposal for the Green Climate Financing Facility Project for local financial institutions in Latin America. Both organizations are expected to continue working on its development and subsequent implementation, while the Inter-American Development Bank and other countries in the region working in this area will continue efforts to reduce greenhouse gas emissions through 2020.