Agriculture Sustainable Finance State of the Market 2023

The Brazilian sustainable debt market reached USD 33.3bn by H1 2023, with green bonds dominating at 45.2%. Within the agriculture sector, forestry is the most financed land-use category, followed by agriculture and bioenergy. The report highlights the role of sustainability-linked bonds (SLBs) for hard-to-abate sectors and recommends government guarantees and a national taxonomy to scale GSS+ financing.

• By the end of the first half of 2023, Brazil's cumulative volume of green, social, sustainability, sustainability-linked, and transition (GSS+) debt reached USD 33.3bn, making it the third largest market in the Latin America and the Caribbean (LAC) region.
• Green bonds are the primary theme in Brazil's GSS+ market, accounting for 45.2% of the total volume (USD 15.1bn), while sustainability-linked bonds (SLBs) are the second largest segment at 32% (or 36% according to a later section).
• Within the 'Land Use' use of proceeds (UoP) category, which represents 19% of Brazil's GSS+ volumes, forestry is the largest segment with a cumulative volume of USD 5.6bn, followed by agriculture at USD 2.3bn and livestock at USD 778m.
• Bioenergy financing has seen significant growth, with UoP reaching a cumulative USD 2.2bn, representing a 288% increase since the 2021 briefing.
• Brazil's agricultural sector is a major source of emissions, with the country being the fifth largest global emitter, primarily due to enteric fermentation of cattle (91.6% of its emissions).
• The Brazilian government is developing a national sustainable finance taxonomy, with an action plan launched in September 2023 and a final version expected in 2024 for mandatory use by January 2026.
• To scale GSS+ financing for agribusiness, the Climate Bonds Initiative recommends five measures: government guarantees, fast-track approval for green projects, sovereign debt issuance, the use of a national taxonomy for bank lending, and the use of robust transition plans for SLBs.

APA

Borges, S., Burge, L., & Gava, L. (2023). Agriculture Sustainable Finance State of the Market 2023. Climate Bonds Initiative. https://www.climatebonds.net/files/documents/publications/cbi_brazil_agrisotm_23.pdf

Chicago

Borges, Sofia, Lily Burge, and Leonardo Gava. Agriculture Sustainable Finance State of the Market 2023. Climate Bonds Initiative, 2023. https://www.climatebonds.net/files/documents/publications/cbi_brazil_agrisotm_23.pdf.

Wikipedia

{{cite report |last1=Borges |first1=Sofia |last2=Burge |first2=Lily |last3=Gava |first3=Leonardo |title=Agriculture Sustainable Finance State of the Market 2023 |publisher=Climate Bonds Initiative |date=October 2023 |url=https://www.climatebonds.net/files/documents/publications/cbi_brazil_agrisotm_23.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{borges2023agriculture, author = {Borges, Sofia and Burge, Lily and Gava, Leonardo}, title = {{Agriculture Sustainable Finance State of the Market 2023}}, institution = {Climate Bonds Initiative}, year = {2023}, month = oct, url = {https://www.climatebonds.net/files/documents/publications/cbi_brazil_agrisotm_23.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }