The need to move to sustainable production and consumption models that reuse products and preserve the world’s finite natural resources is more urgent than ever. Adopting a circular approach to business models allows financial institutions to assess production and consumption models and identify new solutions to design out waste and pollution. However, there is a big investment gap in what is required to support the urgent transition towards circular production and consumption models. The financial sector and government bodies have a critical role to play in accelerating the circular transition through innovative financial instruments and policies.
This report presents a first diagnosis of the potential to unlock circular economy finance in Latin America and the Caribbean. Through an analysis of public policies and financial instruments for circularity in seven countries, it provides recommendations to advance circular economy implementation and increase the financing available in the region. The report also urges the need to scale up joint action from the public and private sectors to bridge the sustainable investment gap and decouple economic growth from environmental degradation as fast as possible.
Developed by UNEP in partnership with the Inter-American Development Bank Group (IDB), the resource is based on multi-stakeholder consultations and engagement with strategic partners in the seven following jurisdictions: Brazil, Chile, Colombia, Costa Rica, the Dominican Republic, Mexico, and Peru.