Mobilising green investments for Minas Gerais

Led by: Centro Brasil no Clima
Sector: Finance

“The project will enhance climate management in the state and develop the capacity to finance climate projects that contribute to a just transition in the state of Minas Gerais. Additionally, it will aid in greening the portfolio of BDMG, one of the primary regional development banks in the country. The success of the project can serve as an example to be replicated in other states, facilitating progress in the national climate change agenda."

-  Bruna Araujo, Sustainable Finance Manager, WayCarbon

This project aims to support the Government of the State of Minas Gerais in advancing climate action within its territory by strengthening governmental entities involved in implementing the State's Climate Action Plan (PLAC). The State Secretariat of the Environment and Sustainable Development (SEMAD-MG), the coordinator of PLAC, is the primary beneficiary of the project, with the Development Bank of Minas Gerais (BDMG) playing a crucial role as a key instrument for executing the state's climate public policy. The project will adopt a just transition perspective in its development.

It will offer a suite of outputs aimed at enhancing Minas Gerais' approach to climate project financing and management. These include recommendations to improve the financeability of the state's key climate projects, capacity-building initiatives for more effective climate management, and strategies to augment the BDMG's climate strategy. Additionally, it aims to enhance Minas Gerais' engagement with international stakeholders, advancing the state's efforts to secure climate funding.

Furthermore, it will provide insights on reinforcing BDMG's capacity to attract green investments, alongside fostering connections and networks to facilitate access to climate finance and stimulate green investment within the state. Notably, Minas Gerais distinguished itself as the first state in Latin America to join the Race to Zero campaign, highlighting its leadership in climate action. The project's framework and outcomes are designed for potential replication in other Brazilian states that have made significant strides in their climate agendas and developed their own climate action plans. 

“The project will support Minas Gerais in accelerating the implementation of the priority activities of the Climate Action Plan (PLAC) to meet Race to Zero commitments. Further strengthening the state's capacities to monitor, report, and evaluate plan actions and goals while enhancing its financing prospects by identifying opportunities and establishing means of accessing funding sources. By consolidating the state's leadership in this agenda, it is expected that the success of this project will inspire and guide similar initiatives in different parts of the country.” 

-  Felipe Bittencourt, CEO and Project Principal Expert, WayCarbon