The Development Bank of Latin America and the Caribbean (CAF) revealed its commitment to invest over $2 billion annually, totaling $15 billion by 2030, to address climate change in Latin America. This was stated at the U.N. COP28 climate summit in Dubai.
The funds will be allocated towards enhancing infrastructure, water supply, food security, emergency response, and disaster mitigation through monitoring and prevention systems. Additionally, erosion control, coastal protection, and other relevant projects will be financed.
Alicia Montalvo, the Manager of Climate Action and Positive Biodiversity at CAF, emphasized that this financing reflects CAF’s dedication to promoting actions that adapt to climate change and enhance resilience in communities facing natural disasters and extreme climate events.
The report highlighted that hurricanes account for 97% of disasters in the Caribbean, impacting almost three out of every four Latin Americans and Caribbean residents. In the Andean region, floods constitute 63.6% of disasters, causing 82% of human and material losses.
Landslides contribute to 23% of disasters, and droughts affect various countries in the region, impacting production. CAF, headquartered in Caracas, plays a significant role as a lender for infrastructure and development projects in the region, comprising 20 countries from Latin America and the Caribbean, along with Spain, Portugal, and 13 Latin American private banks.
