GEF Latam Climate Solutions Fund IV

Brazil is Latin America’s largest economy and a leader in the global effort to stabilise the climate. With a nominal GDP of USD 2.18 trillion in 2024 and deep integration into global agrifood, energy, and mineral value chains, the credibility of its decarbonisation pathway carries significant implications for implementing the Paris Agreement. Brazil’s Nationally Determined Contributions (NDC) commit to reducing greenhouse gas emissions by 59 per cent below 2005 levels by 2035 and achieving net-zero emissions by 2050. However, Brazil faces a substantial climate finance gap, and public resources dominate the financial flows, making progress vulnerable to political and fiscal shifts. GEF Brasil aims to establish the USD 325 million GEF Latam IV Fund to support middle-market companies in Brazil with climate mitigation and adaptation solutions that align with Brazil’s climate priorities. The fund is a private equity investment vehicle that plans to make 8 to 10 investments to provide scalable climate technologies, ensuring they have sufficient capital to grow and achieve a greater impact. Key investment areas include clean energy, sustainable agriculture, and urban solutions. The fund will invest in businesses that expand clean energy infrastructure, improve energy storage, foster breakthrough energy efficiency technologies and sustainable supply chains for the clean energy transition. GEF Latam IV will also support regenerative agriculture, sustainable agribusinesses, precision agriculture, and cutting-edge food production technologies that optimise resource usage while minimising environmental impact. GEF Latam IV will invest in improving waste management, recycling, water saving, and efficient transportation in the urban solutions sector to help cities become cleaner and more sustainable. It was developed under GCF’s Project-specific Assessment Approach (PSAA).