National Adaptation Plan for the Agriculture and Forestry Sectors of Paraguay
Summary
The proposal seeks USD 1,141,325 over 30 months to strengthen Paraguay's resilience in the agriculture and forestry sectors. It identifies five primary barriers: limited climate data, insufficient integration of adaptation into national policy, inadequate response to impacts on marginalized groups, deficient implementation of climate-resilient practices, and weak private sector participation. The project aims to establish a National Adaptation Plan (NAP), a Climate Data Platform, and a National Framework for Climate Services (NFCS). Key financial initiatives include the development of a NAP Private Sector Financing Strategy and technical assistance to the Paraguay Development Finance Agency (AFD) to structure the country's first resilience bond. The project will also develop two high-quality private sector-led concept notes for submission to international funding sources and implement a 'Train-the-Trainer' program for extension agents to promote climate-smart agriculture (CSA).
Key insights
- Paraguay's agriculture and forestry sectors are highly vulnerable to climate change, with heat wave frequency tripling over the last 40 years and agricultural losses sometimes reaching USD 1 billion.
- The country is the second most deforested nation in Latin America, a situation driven by the expansion of agriculture and livestock.
- Agriculture is a critical economic pillar for Paraguay, representing 30% of the national GDP and 40% of exports.
- There is a significant gap in climate data, as the country relies on global models that fail to capture localized microclimates and socio-economic nuances of vulnerable communities.
- Climate change disproportionately affects marginalized groups; for example, small family producers make up nearly 80% of the agricultural workforce and are highly susceptible to erratic rainfall.
- While no-till farming has a high adoption rate of approximately 90% in cropland, other resilient techniques like agroforestry and silvopastoral practices remain limited.
- Private sector engagement in adaptation is minimal due to a lack of financial incentives, institutional support, and shallow private credit markets.
- The proposal identifies a private sector investment opportunity of approximately $1.56 billion to achieve the agriculture sector targets of the Nationally Determined Contribution (NDC).
- The project will establish a National Framework for Climate Services (NFCS) to link data producers, service providers, and policy decision-makers.
- The project aims to catalyze private finance by supporting the Paraguay Development Finance Agency (AFD) in issuing a Green Resilience Bond.
Cite the original document
- APA
- Green Climate Fund (2025). National Adaptation Plan for the Agriculture and Forestry Sectors of Paraguay. https://www.greenclimate.fund/sites/default/files/document/20250517-gcf-apprvd-rdnss-grt-nap-paraguay-gggi-pry010.pdf
- Chicago
- Green Climate Fund. National Adaptation Plan for the Agriculture and Forestry Sectors of Paraguay. 2025. https://www.greenclimate.fund/sites/default/files/document/20250517-gcf-apprvd-rdnss-grt-nap-paraguay-gggi-pry010.pdf.
- Wikipedia
- {{cite report |author=Green Climate Fund |title=National Adaptation Plan for the Agriculture and Forestry Sectors of Paraguay |date=30 April 2025 |url=https://www.greenclimate.fund/sites/default/files/document/20250517-gcf-apprvd-rdnss-grt-nap-paraguay-gggi-pry010.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}
- BibTeX
- @techreport{greenclimatefund2025national, author = {{Green Climate Fund}}, title = {{National Adaptation Plan for the Agriculture and Forestry Sectors of Paraguay}}, institution = {Green Climate Fund}, year = {2025}, month = apr, url = {https://www.greenclimate.fund/sites/default/files/document/20250517-gcf-apprvd-rdnss-grt-nap-paraguay-gggi-pry010.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }
Full text
Collected · Record updated