2023

Working Paper - Link (English) - 2023

United States-Latin America and the Caribbean Trade Developments provides an overview of selected developments in trade relations between the United States and Latin America and the Caribbean.

Working Paper- Link (English) - 2023

This document examines the evolution of Latin America and the Caribbean’s (LAC) international issuance of sustainable bonds - green, social, sustainability, and sustainability-linked bonds (GSSS) - since the first green bond was issued in December 2014. Cumulative international GSSS bond issuance reached $100 billion from 2014 to 2022. Four key trends are identified: GSSS bonds’ share of the region’s total international bond issuance rose from under 1% in 2018 to 32% in 2022. Initially dominated by green bonds, the region has diversified into sustainability and sustainability-linked bonds, which became predominant by 2021. Since Chile’s first sovereign international green bond in June 2019, sovereign issuances have driven the region’s sustainable bond market. A propensity score matching (PSM) analysis found a statistically significant “greenium,” indicating investors’ willingness to accept lower yields on GSSS bonds compared to conventional bonds, reflecting a commitment to social responsibility.

Book Chapter - Link (English) - 2023

This chapter addresses the diagnosis of sustainable development in Latin America, highlighting the economic and social inequalities exacerbated by the COVID-19 pandemic and the impact of extreme climatic events. The analysis includes probable and desired future scenarios, emphasizing the importance of transformative and collaborative public policies. The need for regional adaptations to mitigate risks, promote sustainability, and achieve the Sustainable Development Goals (SDGs) for 2030 and beyond is underscored.