First of its kind: Colombia leads globally in Green Taxonomy implementation tools
After five years of collaborative work, Colombia has hit a major milestone in sustainable finance. Through the “Greening Colombia’s Financial System” project, organisations including Climate Bonds Initiative, Ambire Global, and Metrix Finanzas, working in partnership with the Green Taxonomy Working Group of Colombia and supported by the UK PACT Programme, have helped lay the foundation for a greener, more resilient economy in the country.
So, what exactly did they achieve and why does it matter?
From theory to practice
Since the taxonomy’s launch, the team behind the project has been hard at work making sure it’s not just a document on a shelf.
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2,700+ professionals trained in sustainable finance and the taxonomy’s use.
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235 hours of training delivered across 38 sessions.
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33 practical tools developed and made publicly available, including:
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An activity identification tool;
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Two implementation guides (general and credit-focused);
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18 proxies to help assess key sectors like transport, water, and land use.
And it didn’t stop there. The team reviewed more than COP10.8tn in portfolios to identify potential for labelled green finance instruments—and saw the successful issuance of COP334.7bn in sustainable finance products.
The project also made equity a central focus, ensuring women weren’t left out of the green finance transition. Of the 2,700+ people trained, 1,380 women (51%) participated directly.
A regional inspiration
Andrés Felipe Sánchez, Head of Latin America and the Caribbean at Climate Bonds Initiative, said: "This project marks a before-and-after moment for sustainable finance in Colombia. It’s about more than just frameworks. It’s about building real-world capacity to drive climate action.”
With three years of implementation already under its belt, Colombia is now better positioned than ever to attract sustainable investments and deliver on its climate goals under the Paris Agreement.
Want to learn more? Visit https://www.climatebonds.net/taxonomy
Successful Completion of the "Greening Colombia's Financial System" Project
Led by Climate Bonds Initiative, Ambire Global, and Metrix Finanzas, in collaboration with the Green Taxonomy Working Group of Colombia and with the support of the UK PACT Programme.
After five years of dedicated work, the "Greening Colombia's Financial System" project has achieved a significant milestone in advancing the transition towards a more sustainable financial system and a low-carbon, resilient economy. Through a joint effort by the UK PACT Programme, Climate Bonds Initiative (Climate Bonds), Ambire Global, and Metrix Finanzas, in collaboration with the Green Taxonomy Working Group of Colombia (MTV), substantial progress has been made in the development, implementation and adoption of Colombia’s Green Taxonomy (TVC).
The TVC is a classification system for economic activities and assets that make substantial contributions to achieving environmental objectives, particularly climate change mitigation, in line with Colombia’s environmental and climate commitments, strategies, and policies. This milestone not only facilitates the financing of sustainability and climate action but also establishes clear standards for green investments, positioning Colombia as a regional leader in sustainable finance. Notably, Colombia became the first country in the Americas to develop its national taxonomy in 2022.
The project has demonstrated significant achievements, including engagement with first- and second-tier banks, the insurance sector, and asset or portfolio managers in implementing and adopting the TVC in their operations and businesses. While challenges remain for market players in the country, the project has successfully enhanced knowledge and strengthened capacities related to the taxonomy and tools that support its implementation.
Greening Colombia's Financial System
The project has trained over 2,700 individuals in sustainable finance and the use of the TVC, delivering 235 hours of training across 38 direct training sessions. Additionally, training resources have been made publicly available on the TVC website for free access.
Furthermore, 33 practical tools have been developed and are available on the website for use by any market participant in Colombia. These include a tool for identifying sectors and activities aligned with the TVC, two TVC Implementation Guides (one general for organisations and entities, and another for green credit management), and 18 proxies for verifying compliance with substantial contribution criteria in activities related to the Transport (T4 and T5), Water (A4), and Land Use sectors, with a particular focus on small and medium-sized producers.
In terms of labelled financial instruments, the project has provided technical assistance to subnational actors, as well as stakeholders in the financial and real sectors. It has reviewed portfolios amounting to a total of COP 10.8 trillion to assess the potential for issuing labelled financial instruments. As a result, two labelled financial instruments totalling COP 334.7 billion have been issued, showcasing the potential of Colombia’s market to mobilise capital towards sustainable projects.
Finally, the project maintained a strong focus on social inclusion and gender equity, directly training 1,380 women in sustainable finance and TVC usage—accounting for 51% of the total trainees.
Andrés Felipe Sánchez, Head of Latin America and the Caribbean, Climate Bonds Initiative: “It has been an honour to be part of this five-year project, which marks a before-and-after moment for sustainable finance in Colombia. Beyond contributing to the development of Colombia’s Green Taxonomy, the implementation process and efforts to bridge gaps in its application are crucial steps toward building a more sustainable financial system. This, in turn, supports a more resilient, low-carbon economy. The achievement is a testament to Colombia’s leadership in the region and its commitment to climate action.”
The Legacy of Green Finance in Colombia
After three years of TVC implementation, Colombia is now better positioned to attract sustainable investments and fulfil its climate commitments under the Paris Agreement. The conclusion of this project represents a major step in consolidating a more sustainable financial system and serves as an inspiration for other countries in the region to follow a similar path towards sustainability.
For further information, please contact:
Leticia Braga
Communications Specialist, Climate Bonds Initiative
+55 61 99248-7070
