BONDS AND CLIMATE CHANGE 2016 THE STATE OF THE MARKET

This report by the Climate Bonds Initiative examines the potential for a green bond market in Mexico to support its transition to a low-carbon economy. While the existing climate-aligned bond market is small, the document identifies significant investment needs across energy, transport, buildings, and water sectors, and suggests that Mexico's stable macroeconomic environment and growing institutional investor interest provide a strong foundation for future green issuance.

• Mexico has established ambitious climate targets, including a goal to reduce greenhouse gas (GHG) emissions by 50% by 2050 compared to a 2000 baseline, supported by the 2012 Climate Change Act and the 2015 Energy Transition Act.
• The climate-aligned bond market in Mexico is currently small, with only $1.3 billion outstanding, representing less than 0.5% of the global climate-aligned bond universe. This includes a $500 million green bond issued by Nacional Financiera in November 2015 and issuance from Bio Pappel and a wind project in Oaxaca.
• Significant investment is required to meet clean energy targets, with an estimated $5 billion needed annually, totaling $75 billion to comply with national and international commitments on GHG reductions and clean energy generation.
• The transport sector requires substantial investment to shift toward low-carbon models. The 2013-2018 transport plan involves over 200 projects with approximately $12 billion in total investment. Specific major projects include the Mexico-Toluca interurban train ($2.51 billion) and a $4 billion extension of Mexico City's subway lines.
• Water management faces critical challenges due to scarcity, pollution, and climate change, with an estimated $77 billion required by 2030 for water-related infrastructure, operation, and maintenance.
• Several barriers hinder the development of the Mexican green bond market, including a lack of investment-grade credit ratings for sub-national governments, limited awareness among issuers and investors regarding pricing and issuance, and the need for fiscally efficient tax and regulatory incentives.
• Mexico's financial landscape offers opportunities for green growth, with $143.1 billion managed by pension funds (13% of GDP) and a fixed-income market with $843.7 billion in outstanding bonds, including $181.5 billion in investment-grade corporate bonds.

APA

Climate Bonds Initiative (2016). BONDS AND CLIMATE CHANGE 2016 THE STATE OF THE MARKET. https://www.climatebonds.net/files/documents/publications/SotM-2016-Mexican-Edition-interactive-EN-A3.pdf

Chicago

Climate Bonds Initiative. BONDS AND CLIMATE CHANGE 2016 THE STATE OF THE MARKET. 2016. https://www.climatebonds.net/files/documents/publications/SotM-2016-Mexican-Edition-interactive-EN-A3.pdf.

Wikipedia

{{cite report |author=Climate Bonds Initiative |title=BONDS AND CLIMATE CHANGE 2016 THE STATE OF THE MARKET |date=August 2016 |url=https://www.climatebonds.net/files/documents/publications/SotM-2016-Mexican-Edition-interactive-EN-A3.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{climatebondsinitiative2016bonds, author = {{Climate Bonds Initiative}}, title = {{BONDS AND CLIMATE CHANGE 2016 THE STATE OF THE MARKET}}, institution = {Climate Bonds Initiative}, year = {2016}, month = aug, url = {https://www.climatebonds.net/files/documents/publications/SotM-2016-Mexican-Edition-interactive-EN-A3.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }