Climate Finance Roadmap For Livestock in Latin America and the Caribbean Annexes

The document details the methodology used to quantify investment risks (governance, financing, physical climate, market, infrastructure, and nature) and attributes (horizon, ticket size, and return) for livestock in Latin America and the Caribbean (LAC). It establishes a scoring system to match these risks with the risk tolerances of various public and private investors, while modeling how different finance and policy strategies (IFS and IFPS) could improve investor suitability. The analysis distinguishes between small-scale farms (2-10 hectares) and large-scale commercial farms (10+ hectares) across Brazil, Argentina, Mexico, and the rest of LAC, noting that small farms are primarily served by public and concessional finance, whereas large farms have better access to commercial private finance.

• The methodology assesses six categories of investment risk: governance, financing, physical climate, market, infrastructure, and nature, alongside three investment attributes: investment horizon, average ticket size, and return.
• Large-scale commercial farms are considered to have lower risk profiles than smallholder farms in four specific categories: physical climate, market, infrastructure, and nature, due to their greater capacity for mitigation and better access to infrastructure and international markets.
• In the Business-as-Usual (BAU) scenario, small-scale agrifood systems are primarily funded by public sources, while larger farms are more likely to access commercial private finance.
• The document identifies a significant underestimation of climate finance flows in the LAC livestock sector, noting that a comparison in Brazil revealed 120 times more private finance and 2.5 times more public finance than captured in global datasets, largely due to Brazil's Rural Credit policy.
• The Improved Finance and Policy Strategies (IFPS) scenario models a further decrease in the share of public finance compared to the Improved Finance Strategies (IFS) scenario, driven by increased private investment from both financial and policy incentives.
• Brazil is characterized as having a more stable macroeconomic environment and lower risks for investors compared to Argentina and Mexico, with GDP growth in the 2-3% range and inflation below 4%.

APA

Climate Policy Initiative (2025). Climate Finance Roadmap For Livestock in Latin America and the Caribbean Annexes. https://www.climatepolicyinitiative.org/wp-content/uploads/2025/07/CLIC_LAC_AFS_Roadmap_Annexes_Final.pdf

Chicago

Climate Policy Initiative. Climate Finance Roadmap For Livestock in Latin America and the Caribbean Annexes. 2025. https://www.climatepolicyinitiative.org/wp-content/uploads/2025/07/CLIC_LAC_AFS_Roadmap_Annexes_Final.pdf.

Wikipedia

{{cite report |author=Climate Policy Initiative |title=Climate Finance Roadmap For Livestock in Latin America and the Caribbean Annexes |date=July 2025 |url=https://www.climatepolicyinitiative.org/wp-content/uploads/2025/07/CLIC_LAC_AFS_Roadmap_Annexes_Final.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{climatepolicyinitiative2025climate, author = {{Climate Policy Initiative}}, title = {{Climate Finance Roadmap For Livestock in Latin America and the Caribbean Annexes}}, institution = {Climate Policy Initiative}, year = {2025}, month = jul, url = {https://www.climatepolicyinitiative.org/wp-content/uploads/2025/07/CLIC_LAC_AFS_Roadmap_Annexes_Final.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }