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Mapping sustainability in Latin America and the Caribbean: sectoral and energy transition insights from sustainable bonds, 2014–2024

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  • Velloso, Helvia
  • Perrotti, Daniel E.
  • Sobreira, Rudá

Abstract

This study examines the role of green, social, sustainable, and sustainability-linked (GSSS) bonds in financing the energy transition in Latin America and the Caribbean (LAC). It combines a descriptive assessment of sectoral bond issuance patterns from 2014 to 2024 with an econometric exercise focusing on the region’s top five issuers. The results indicate that GSSS bonds have contributed to the expansion of renewable energy capacity but have not yet produced a structural shift in the overall energy mix. These findings underscore both the opportunities and limitations of sustainable finance, highlighting the importance of complementary policies, market reforms, and effective governance to maximize its transformative potential.

Suggested Citation

  • Velloso, Helvia & Perrotti, Daniel E. & Sobreira, Rudá, 2025. "Mapping sustainability in Latin America and the Caribbean: sectoral and energy transition insights from sustainable bonds, 2014–2024," Studies and Perspectives – ECLAC Office in Washington 82543, Naciones Unidas Comisión Económica para América Latina y el Caribe (CEPAL).
    • Handle: RePEc:ecr:col034:82543
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    File URL: http://repositorio.cepal.org/handle/11362/82543
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    References listed on IDEAS

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    1. Muhammad Alamgir & Ming-Chang Cheng, 2023. "Do Green Bonds Play a Role in Achieving Sustainability?," Sustainability, MDPI, vol. 15(13), pages 1-27, June.
    2. Xu, Xinkuo & Li, Jingsi, 2023. "Can green bonds reduce the carbon emissions of cities in China?," Economics Letters, Elsevier, vol. 226(C).
    3. Caroline Flammer, 2023. "Green bonds and carbon emissions," Oxford Review of Economic Policy, Oxford University Press and Oxford Review of Economic Policy Limited, vol. 39(4), pages 752-764.
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