Green MicroFinance in Latin America and the Caribbean: An Analysis of Opportunities

The inclusion of environmental criteria in microfinance products to promote sustainable activities, access to clean or more efficient use of energy or to reduce climatic and environmental risk for low- income households or microenterprises (i.e., green microfinance)—is a dynamic and growing market in Latin America and the Caribbean (LAC), with existing and forthcoming opportunities. However, client outreach, clear strategies and institutional buy-in are still limited. Better coordination and appropriate tools, products and strategies need to be developed to achieve the potential of a very promising green microfinance sector in LAC.