At Colombia’s Department of National Planning’s (DNP) event, “Finance for Climate, Finance for Development,” Deputy Minister Gonzalo Hernández announced the country’s support for CFLI Colombia, an initiative led by UN Special Envoy Michael R. Bloomberg that convenes the private finance sector to support transformational climate action in Colombia.
CFLI Colombia focuses on closing the financing gap and identifying policy solutions in support of the government’s climate objectives detailed in the National Development Plan and the National Climate Finance Strategy. The initiative also aims to accelerate Colombia’s commitment to meet its Nationally Determined Contribution (NDC) under the Paris Agreement, which includes a commitment to reduce greenhouse gas emissions by 51% by 2030 and achieve carbon neutrality by 2050.
“By driving more capital into sustainable investments, CFLI Colombia can accelerate the country’s climate progress – and create a model for nations across Central and South America to follow. We’re looking forward to working with President Petro and his administration on this important initiative.” – Michael R. Bloomberg, UN Special Envoy on Climate Ambition and Solutions, Chair, Climate Finance Leadership Initiative
“During COP27, we concentrated our efforts on achieving important results for the region and within those proposals, led by President Gustavo Petro, we worked to propose a reform to the multilateral financial system, since it is clear that the emergency and calamity in the post-COVID situation cannot be solved with more indebtedness. That is why we promote figures such as debt relief and debt-for-nature swaps, which are in line with CFLI Colombia, and which will become a strategic actor for the fulfillment of our climate action goals.” – Susana Muhamad, Colombian Minister of Environment
“Climate change is the challenge of the century, and to face it, the commitment and joint action of every sector of the economy is necessary. In these efforts, achieving a just transition is key, therefore, ensuring both financial and social inclusion is fundamental. We celebrate initiatives as CFLI Colombia that help close the financing gap for climate change by mobilizing private investment towards sustainable projects that will help achieve Colombia’s NDC.” – José Antonio Ocampo Gaviria, Colombian Minister of Finance
Mary Schapiro, Vice Chair of the Climate Finance Leadership Initiative (CFLI), also welcomed CFLI Colombia’s 12 founding members at the event and highlighted Colombia’s commitment to combat the threat of climate change and to rapidly transition to a low-carbon, climate resilient economy. The CFLI Colombia founding members will collaborate with President Petro’s administration, Colombian civil society, and multilateral initiatives to concentrate action on building a pipeline of bankable climate solutions. The members include:
· Brookfield Asset Management
· BBVA Colombia
· Enel Group
· Financiera de Desarrollo Nacional (FDN)
· Grupo Argos
· Grupo Bolivar
· J.P. Morgan
· Macquarie Group
· Seguros SURA Colombia
Since its formation, CFLI Colombia has identified key priority areas that are aligned with the government’s priorities including low-carbon transportation; renewable alternatives; nature, resilience, and adaptation; and sustainable infrastructure.
Thus far over 20 concepts have been developed and include a strong mix of financing and policy solutions, which will be further refined and developed over the coming year. These financing transactions will seek to lay the foundation for scalable models that can help drive capital in support of the Colombian government’s ambitious climate agenda and support a just transition to carbon neutrality.
Led by Bloomberg, CFLI Colombia is co-chaired by Juan Carlos Mora Uribe, Chief Executive Officer of Bancolombia, and Mario Pardo Bayona, Chief Executive Officer of BBVA Colombia. It is also supported by the Government of Colombia, including the DNP and ProColombia, Government of United Kingdom, and the Global Infrastructure Facility.
CFLI Colombia is the first CFLI country pilot in Latin America. CFLI country pilots are multi-year, practitioner-led efforts that seek to translate global climate finance ambition to sector-and market-specific solutions with the greatest potential to mobilize capital at scale in line with a country’s NDC and net-zero priorities.
“The UK is a leader in mobilizing private investment and financing to promote clean growth and understand that this is a crucial component in the fight against climate change. Colombia's net zero targets set a high benchmark regionally, and we will work alongside our partners here to ensure that the CFLI Colombia will support the transition from ambition to action and implementation, accelerating a move to renewable energy, sustainable transport, green finance and promoting nature-based solutions for climate change.” – George Hodgson, UK Ambassador to Colombia
“Finding real solutions to challenges like climate change and the transition to a low-carbon economy needs work from both the public and private sectors. We are pleased that CFLI Colombia could combine the work of the Government, companies from different sectors, and the financial sector to accelerate investments focused on achieving climate objectives. CFLI Colombia is an important commitment that will create a sustainable future for the people of Colombia and the world.” – Juan Carlos Mora Uribe, Chief Executive Officer of Bancolombia and CFLI Colombia Co-Chair
“At BBVA, we are committed to meeting the country's environmental goals and we are very pleased to co-chair CFLI Colombia. In this new phase, we look forward to working with the founding members to mobilize the capital that will support the deployment of new technologies and low-carbon solutions that will allow us to ensure a more sustainable future for Colombia.” – Mario Pardo Bayona, Chief Executive Officer of BBVA Colombia and CFLI Colombia Co-Chair
“For the Colombian Business Development Bank, CFLI Colombia establishes a great opportunity to catalyze and channel resources that could help national SMEs to become more sustainable and help tackle climate change challenges. Bancóldex has experience supporting both SMEs and sustainability in Colombia that can provide valuable insight and enrich our discussion with our CFLI Colombia partners. We have led the mitigation of barriers to green finance in the business and financial sector in the country, financing energy efficiency, renewable energy, sustainable transportation, and climate mitigation and adaptation initiatives in more than 7,000 Colombian companies, investing more than $290 million (USD).” – Javier Diaz Fajardo, Chief Executive Officer of Bancóldex
“Climate change is simultaneously one of the most significant challenges and opportunities of our times. Economic prosperity and mitigating the effects of climate change are joined at the hip. We are delighted to work with Colombian partners to meet Colombia’s climate goals and do our part to put the global community on an environmentally sustainable and economically prosperous path.” – Camilo Marulanda Lopez, Chief Executive Officer of ISAGEN, a Brookfield Asset Management company
“At Ecopetrol, we continue to lead the decarbonization efforts and energy transition in Latin America. We celebrate this initiative as it allows us to work jointly with diverse actors to further promote innovative financing mechanisms that can support accelerating a just, gradual, and safe energy transition towards a more sustainable world.” – Felipe Bayón, Chief Executive Officer of Ecopetrol Group
"At Enel Colombia, we are committed to sustainable initiatives and the creation of long-term shared value, Colombia is in the midst of an energy transition, and electrifying the Colombian economy will be the main driver to accelerate decarbonization and mitigate the impact of climate change. Our participation in CFLI Colombia is a great opportunity to advance concrete action that will enhance sustainable development." – Lucio Rubio Díaz, General Manager of Enel Colombia and Central America
“FDN is pleased to become a founding member of CFLI Colombia, led by Michael Bloomberg and co-chaired by Bancolombia and BBVA. The CFLI has proven to deliver meaningful outcomes through their country pilot, such as CFLI India. I am positive that, with the teamwork among public and private sectors involved in our country, we will be able to identify and implement innovative climate finance solutions tailored to the Colombian market. FDN is committed to achieving ambitious climate-related goals and devoting internal teams towards our sustainability roadmap. Being a founding member of CFLI Colombia reflects our interest in fostering an enabling environment for climate finance in the country.” – Francisco Lozano Gamba, President, Financiera de Desarrollo Nacional (FDN)
“Reaching Colombia’s commitment towards a low-carbon economy by 2030 will require outstanding innovation that CFLI Colombia will help to enable through high-impact initiatives that can be financed and executed through collaborative efforts with various industries. Grupo Argos sees the opportunity of participating in CFLI Colombia as a unique occasion to interact with other industries and financial institutions to jointly structure key initiatives to increase Colombia’s resilience as a country that has a high degree of vulnerability to the impacts of climate change.” – Jorge Mario Velásquez, Chief Executive Officer, Grupo Argos
“Climate Change is rapidly disrupting our environment. The only way for Colombia and the rest of the world to be sustainable is by taking action together as a society. We are pleased to join CFLI Colombia, and we are thankful with Bloomberg for helping us and applaud President Petro for his clear desire to make quick and lasting changes to a more environmentally friendly country.” – Miguel Cortés Kotal, Chief Executive Officer of Grupo Bolivar
“We are proud to be part of an initiative that seeks to accelerate Colombia’s transition to clean energy and is aligned with our commitment to build a more sustainable and inclusive economy. This is yet another opportunity to continue contributing to the country's development and building a better future through the financing of high-impact infrastructure solutions.” – Angela Hurtado, Chief Executive Officer of J.P. Morgan Colombia
“Macquarie Group is looking forward to partnering closely with the Petro administration and the members of CFLI to support Colombia’s climate ambition. Our experience supporting CFLI country pilots shows the importance of working together to overcome tough decarbonization challenges in order to accelerate progress.” – Hector Morales, Chairman Latin America, Macquarie Capital
“Climate Change will probably be the main challenge we face as humanity in the 21st century. As experts in trends and risks management, we are pleased to join this initiative and work towards finding solutions by working with multiple actors. SURA as a company in the insurance industry, is aligned with CFLI Colombia in the search of opportunities in Circular Economy models and Sustainable Infrastructure and Mobility among others. It is a matter that requires our will and concern.” – Juan David Escobar, Chief Executive Officer of Seguros SURA Colombia
“The GIF is a proud partner of CFLI and is pleased to support the CFLI Colombia country pilot - the first in the Latin American Region. As part of the country's transition to net zero, CFLI Colombia will spearhead an ambitious, country-led agenda of strengthening policy conditions, promoting innovative solutions in high-emitting sectors and industries, and building bankable pipelines of projects to facilitate climate-smart solutions.” – Sebnem Erol Madan, Acting Head, Global Infrastructure Facility
“The National Planning Department as the leader of the public policy on climate finance recognizes that one of the main barriers to bridging the climate finance gap is to have large, well-structured climate projects with a profitable business model for the private sector. We celebrate this alliance we have made with the CFLI Colombia because it will allow the financial sector to find investment opportunities in Colombia to finance high-impact projects that will help us meet the country's climate goals, generating large-scale and sustainable investment. This will contribute to the implementation of the recently released National Climate Finance Strategy.” – Jorge Iván González, General Director of the National Planning Department of Colombia
“CFLI Colombia is an example of real efforts towards climate action and the quest to close the financial gap. We celebrate the public and private collaboration in the implementation of the initiative, the first of its kind in the region. We look forward to continuing to work with the different members and partners of CFLI Colombia to mobilize the necessary capital to meet the country's ambitious environmental and social goals, ensuring a just and resilient transition.” – Carmen Caballero, President of ProColombia