LAC Launches Sustainable Finance Taxonomy Group to Boost Green Investment
Latin America and the Caribbean (LAC) is set to enhance its sustainable finance landscape with the launch of the Working Group on Sustainable Finance Taxonomies (GTT-LAC). This initiative, supported by the European Commission, aims to create a common framework for taxonomies, boosting interoperability with global systems like the EU-China Common Framework.
The GTT-LAC, an initiative of the Interagency Technical Committee of the Forum of Ministers of Environment, seeks to establish a common language and science-based definition of sustainable finance in the region. This comes at a critical juncture, with Ministries of Environment and Finance collaborating to transition to resilient, low-emission economies.
Colombia has already implemented one taxonomy, with six more in development across the region. Participatory processes, as seen in Colombia's Green Taxonomy and Chile's Taxonomy Roadmap, are key to their creation. The GTT-LAC is supported by international organizations and financial institutions such as the OPEC Fund for International Development and the European Investment Bank, which mobilize resources for sustainable development projects.
The launch of the GTT-LAC was officiated by His Excellency Franz Tattenbach, Minister of Environment and Energy of Costa Rica and Chair of the Forum. The event can be watched online.
The GTT-LAC's common framework for sustainable finance taxonomies will facilitate investment in environmentally sustainable activities, supporting the region's orderly transition to a low-emission economy. By fostering interoperability with global taxonomies, it will also enhance the LAC's role in the global sustainable finance landscape.
Read also:
- Federal petition from CEI seeking federal intervention against state climate disclosure laws, alleging these laws negatively impact interstate commerce and surpass constitutional boundaries.
- Hydrogen Energy: Sustainable Innovation or Resource Exploitation?
- Dim outlook for a major energy corporation
- Underwater pipeline shutdown initiative by Michigan challenges scope of American foreign policy, contends Trump Justice Department
