Green Finance Opportunities in Central America and the Caribbean 2021 Report

The report identifies significant opportunities for green finance in Central America and the Caribbean (CAC), noting that while the market is small with only six deals to date, there is high potential for expansion in renewable energy, low-carbon transport, sustainable water and waste management, sustainable agriculture, and the blue economy. It highlights the role of the Central American Bank for Economic Integration (CABEI) and regional stock exchanges in driving this growth, while providing a guide for issuers to align with international standards like the Climate Bonds Taxonomy.

• The green bond market in Central America and the Caribbean (CAC) is in its early stages, having seen only six deals as of June 2020, with a total issuance of USD 981 million.
• Renewable energy is the dominant sector for green finance in the region, accounting for two-thirds of all allocations in the CAC green bond market.
• There is a critical need for project diversification beyond energy to include sectors such as transport, industry, waste, water infrastructure, and land use (forestry and agriculture).
• The region faces significant investment needs for climate-compatible infrastructure, with a global estimate of USD 100 trillion required by 2030 to meet Paris Agreement targets.
• Costa Rica is identified as the regional leader in climate performance and ambition, aiming to be carbon neutral by 2021 and already generating nearly 100% of its electricity from renewables.
• The blue economy presents substantial opportunities for the Caribbean, where a high percentage of the population lives on the coast and marine resources contribute significantly to GDP.
• The COVID-19 pandemic has caused a shift in sustainable finance, with a decline in green bond issuance as public sector issuers prioritize national health systems and response packages.
• The Central American Bank for Economic Integration (CABEI) has been a key driver of the market, issuing two green bonds and approving USD 2.8 billion for climate change initiatives between 2015 and 2018.

APA

Almeida, M., Ambrosano, J., Davidson, K., Filkova, M., & Gunawan, N. (2021). Green Finance Opportunities in Central America and the Caribbean 2021 Report. Climate Bonds Initiative. https://www.climatebonds.net/files/documents/publications/cbi_cabei_report_final_version.pdf

Chicago

Almeida, Miguel, Julia Ambrosano, Kristiane Davidson, Monica Filkova, and Nabilla Gunawan. Green Finance Opportunities in Central America and the Caribbean 2021 Report. Climate Bonds Initiative, 2021. https://www.climatebonds.net/files/documents/publications/cbi_cabei_report_final_version.pdf.

Wikipedia

{{cite report |last1=Almeida |first1=Miguel |last2=Ambrosano |first2=Julia |last3=Davidson |first3=Kristiane |last4=Filkova |first4=Monica |last5=Gunawan |first5=Nabilla |title=Green Finance Opportunities in Central America and the Caribbean 2021 Report |publisher=Climate Bonds Initiative |date=March 2021 |url=https://www.climatebonds.net/files/documents/publications/cbi_cabei_report_final_version.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{almeida2021green, author = {Almeida, Miguel and Ambrosano, Julia and Davidson, Kristiane and Filkova, Monica and Gunawan, Nabilla}, title = {{Green Finance Opportunities in Central America and the Caribbean 2021 Report}}, institution = {Climate Bonds Initiative}, year = {2021}, month = mar, url = {https://www.climatebonds.net/files/documents/publications/cbi_cabei_report_final_version.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }