CPI research finds latin America climate finance doubled

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🗞️ Driving the news: Climate finance across Latin America and the Caribbean doubled to $108 billion in 2024, from $54 billion in 2020, according to Climate Policy Initiative (CPI)
• Yet fossil-fuel investment reached $95 billion, while only $43 billion of climate finance went to energy systems.

🔭 The context: Renewables already provide around 60% of regional electricity, but investment remains uneven
• Industry and transport receive about 26 and 25 times less climate finance, respectively, than CPI estimates they need through 2030
• Adaptation is also underfunded, accounting for just 11% of tracked climate finance in 2024.

🌍 Why it matters for the planet: Redirecting capital toward clean energy, resilient infrastructure, agriculture and nature could accelerate emissions reductions while strengthening the region’s resilience to droughts and other climate impacts
• Continued fossil-fuel investment risks competing with this transition for scarce capital

⏭️ What’s next: CPI points to guarantees, local-currency financing, stronger investment roadmaps and better project pipelines as ways to mobilise more capital
• Domestic finance will remain important, accounting for around 69% of tracked climate finance in 2023–24

💬 One quote: “Climate finance in Latin America and the Caribbean (LAC) has doubled. The key question now is whether finance is reaching the investments that can drive the region’s climate transition.” — Barbara Buchner, Climate Policy Initiative

📈 One stat: $108 billion — climate finance tracked across LAC in 2024, double the 2020 level.

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