As China and Latin America strengthen political and economic ties so increases the potential deeper cooperation on low carbon trade and investment that also delivers and environmental benefits.
E3G has been collaborating with Brown University’s Climate and Development Lab, to consider the how the Chinese-CELAC platform can progress national, regional and international efforts to move onto low carbon and resilient development paths.
In this discussion paper we explore the potential for increased cooperation on trade and investment in renewable energy, potential collaboration on sustainable cities and transport systems as well as how to finance these.
The potentially valuable role that new China-backed financial institutions such as the BRICS New Development Bank and China’s South-South Cooperation Fund for Climate Change may have in supporting Latin America’s climate objectives is highlighted.
Yet the risk that these new financial institutions fragment the international financial ecosystem making it harder for countries to access and deploy climate finance for transformational impact is also a real one.