Context

This proposal stems from the need to work at the regional level and scale up the Colombian Climate Asset Disclosure Initiative (CCADI), positioning its efforts and lessons learned in a first phase involving institutional investors from Mexico and Peru.

For this reason, through a Cooperation Agreement established between Transforma, the Mexico Climate Initiative (ICM), and Libélula, the Latin American Climate Asset Disclosure Initiative (LACADI) was created. It seeks to contribute to aligning financial flows with the objectives of the Paris Agreement, thereby facilitating the integration of climate change as a central variable in investment decision-making in Latin America.

With the support and direct commitment of insurers and pension funds (institutional investors) from Mexico and Peru, the Initiative creates and implements tools to increase transparency in climate-related financial information, develops capacities, and works to raise awareness of the importance of climate-smart investment in the sector. All of this is based on the recommendations of the Task Force on Climate-related Financial Disclosures (TCFD).

LACADI also provides a dedicated space for peer learning and exchange among actors in the financial system. In this way, it contributes to each country’s efforts to engage the private sector in the commitments of the Paris Agreement and to the broader transition toward a climate-resilient economy consistent with the goal of limiting global temperature rise to 1.5 degrees and aligning financial flows with global climate commitments.