Hoja de ruta para la financiación climática de la ganadería en América Latina y el Caribe
Summary
This report by the Climate Policy Initiative (CPI) and the ClimateShot Investor Coalition (CLIC) provides a roadmap to scale climate finance for livestock systems in Latin America and the Caribbean (LAC). It identifies a massive funding gap, analyzes investment risks and investor preferences, and proposes financial and policy scenarios to transition toward sustainable livestock practices.
Key insights
- There is a severe global funding deficit for sustainable livestock systems, with less than USD 240 million in climate finance currently allocated, leaving a gap of USD 181 billion.
- In Latin America and the Caribbean (LAC), livestock systems are responsible for approximately 28% of the region's total emissions, with 53% coming from enteric fermentation, manure management, and soil degradation, and 47% from land-use change.
- Climate finance flows for sustainable livestock in LAC are extremely limited, averaging USD 100 million annually in 2021/2022, against an estimated annual need of USD 23.2 billion to USD 25.2 billion.
- Public investors are currently the most suitable for climate investments in LAC livestock systems due to their higher risk tolerance and development focus, while private investors are largely deterred by high governance risks, small project sizes, and low expected returns.
- Specific regional risks hinder investment, including macroeconomic instability in Argentina (where the peso lost two-thirds of its value between 2018 and early 2020) and geopolitical trade risks in Mexico, which exports approximately 89% of its agricultural products to the United States.
- Small-scale farms are particularly vulnerable and dependent on public funding because they lack collateral and face higher physical climate risks, such as heat stress and forage quality decline, which are exacerbated by El Niño.
- The report proposes three scenarios: Business-as-Usual (BAU), Improved Finance Strategies (IFS), and Improved Finance and Policy Strategies (IFPS). The IFPS scenario maximizes private sector participation by combining catalytic public finance with regulatory reforms and digital infrastructure.
- Key financial recommendations include the use of blended finance, credit guarantees, and long-term capital with repayment periods of 5 to 10 years to allow producers to benefit from sustainable practices like silvopastoral systems.
- Policy recommendations emphasize the adoption of natural capital accounting, standardized climate reporting, and the expansion of digital financial services to reduce transaction costs for remote producers.
Cite the original document
- APA
- Kirchherr, A., Alberti, C., Barron, M., Bansal, S., Sikka, A., & Strinati, C. (2025). Hoja de ruta para la financiación climática de la ganadería en América Latina y el Caribe. Climate Policy Initiative. https://www.climatepolicyinitiative.org/wp-content/uploads/2025/10/Hoja-de-ruta-para-la-financiacion-de-la-ganaderia-en-America-Latina-y-el-Caribe.pdf
- Chicago
- Kirchherr, Alexandre, Caroline Alberti, Mairéad Barron, Shreya Bansal, Aanandita Sikka, and Costanza Strinati. Hoja de ruta para la financiación climática de la ganadería en América Latina y el Caribe. Climate Policy Initiative, 2025. https://www.climatepolicyinitiative.org/wp-content/uploads/2025/10/Hoja-de-ruta-para-la-financiacion-de-la-ganaderia-en-America-Latina-y-el-Caribe.pdf.
- Wikipedia
- {{cite report |last1=Kirchherr |first1=Alexandre |last2=Alberti |first2=Caroline |last3=Barron |first3=Mairéad |last4=Bansal |first4=Shreya |last5=Sikka |first5=Aanandita |last6=Strinati |first6=Costanza |title=Hoja de ruta para la financiación climática de la ganadería en América Latina y el Caribe |publisher=Climate Policy Initiative |date=October 2025 |url=https://www.climatepolicyinitiative.org/wp-content/uploads/2025/10/Hoja-de-ruta-para-la-financiacion-de-la-ganaderia-en-America-Latina-y-el-Caribe.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}
- BibTeX
- @techreport{kirchherr2025hoja, author = {Kirchherr, Alexandre and Alberti, Caroline and Barron, Mairéad and Bansal, Shreya and Sikka, Aanandita and Strinati, Costanza}, title = {{Hoja de ruta para la financiación climática de la ganadería en América Latina y el Caribe}}, institution = {Climate Policy Initiative}, year = {2025}, month = oct, url = {https://www.climatepolicyinitiative.org/wp-content/uploads/2025/10/Hoja-de-ruta-para-la-financiacion-de-la-ganaderia-en-America-Latina-y-el-Caribe.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }
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