Brazil launches green bond program for railways

The program is the first green bond program for transport in Latin America.

According to a statement by Brazil’s Infrastructure Ministry, initially, under this program, three railways, which will have operating licenses auctioned, are expected to be certified as sustainable projects. The program is being developed with Climate Bond Initiative (CBI) participation.

The railways, Fiol, Ferrogrão and Fico, will require 14.3 billion reais ($2.91 billion) in investments by their new private operators.

Brazil’s green infrastructure pipeline may address the challenges faced by diverse areas within the sector, including water and sanitation, urban mobility, waste to energy and renewable energy and logistics.