On August 4, the Brazil-U.S. Business Council, in partnership with the International Policy Coalition for Sustainable Growth, hosted a multi-panel virtual event entitled “Unleashing the Power of Sustainable Investment: Addressing Climate Action in Brazil.” The event featured U.S. Special Presidential Envoy for Climate John Kerry, who discussed U.S.-Brazil cooperation on climate and sustainable development. Additionally, Special Secretary of Finance from the Brazilian Ministry of Economy Bruno Funchal spoke at the event on establishing a regulatory framework to facilitate sustainable investment. The meeting convened global executives from leading U.S. and Brazilian corporations to address Brazil’s business climate for environmentally sustainable investments. The event was part of a series of high-level engagements with authorities, the private sector, and stakeholders to support climate action in Brazil.
In his remarks, Kerry acknowledged the private sector led momentum behind emergent technologies to fight climate change, and the increased awareness of economic opportunities related to climate action and sustainability efforts. Finance mobilization is a major part of the U.S.’ plan and has rallied major financial institutions to play an active role in climate transition over the next 10 years. Kerry called on the private sector to join the U.S.’ efforts at COP26 in Glasgow, and urged companies to use their influence around the world to promote a sense of urgency to policymakers.
The U.S. remains hopeful on working with Brazil on global climate ambitions but acknowledged that challenges remain. Illegal deforestation and continued fires in the Amazon region pose a significant challenge to climate mitigation. Kerry recognized the commitments made by President Bolsonaro at April’s Leaders’ Summit on Climate but went on to say that follow through and actionable measures will be critical. Kerry recently met with a group of governors from Brazil and was encouraged by their forward leaning stance on the environment. Themes discussed included technological assistance, financing, and measurable enforcement mechanisms.
Bruno Funchal, Special Secretary of Finance at the Ministry of Economy addressed U.S. Chamber members and laid out Brazil’s vision for sustainable financing. In 2021, the government is establishing a framework for green treasury and private bonds. Targeted sectors include energy, sanitation, and transportation. Over the last year the government has also built a framework for agricultural issuances, which include areas in greenhouse gas emissions reductions and bio conservation. By the end of this year, the government aims to present a new regime for environmental, social, and governance (ESG) investing. Working with the World Bank, it will map out mid-long-term sustainability goals for investors.
To view the event in its entirety, please click on the image below.
