CAF Protects 300,000 Hectares of Peruvian Amazon, Offsets GHG Emitted Since 1970

In an effort to protect the Amazon and in line with its commitment to sustainable development, CAF—development bank of Latin America—neutralized greenhouse gas (GHG) emissions generated since its creation in 1970 until 2018. CAF acquired 162,986 carbon credits from a project in the Peruvian Amazon that protects and regenerates more than 300,000 hectares of forest, removes more than 1.5 million tons of carbon dioxide per year, and benefits 400 local families who rely on chestnut farming.

Carbon neutrality is a technical and standardized process that seeks to measure, reduce, and offset an organization’s residual GHG emissions in an attempt to neutralize the environmental impacts generated during its activities. Considering the estimated institutional carbon footprint since 1970 (162,986 ton CO2e), validated and verified under the strictest international standards, a project was selected to help preserve natural resources.

“With this offsetting measure, CAF reiterates its institutional commitment to sustainable development, the fight against deforestation and forest degradation in Latin America. It also highlights its active and consistent pledge to the Paris Agreement on Climate Change and shows continuous improvement of its Institutional Environmental Management System (SIGA),” said Luis Carranza, CAF executive president.

CAF includes environmental and sustainability variables in its management policies and operates under eco-efficiency and sustainability criteria. Furthermore, it will continue to foster mechanisms to modify institutional processes that directly increase annual GHG emissions.

The carbon neutrality measure was announced under the framework of COP25 in Madrid, where CAF plays an active role by supporting countries of the region in defining more ambitious Nationally Determined Contributions and mobilizing green funding for development projects in Latin America.