Loan to help jump-start Peru’s green building finance market

“One of IFC’s priorities in Peru is to promote new green growth opportunities and markets for inclusive growth. In alignment with Peru’s Green Finance Roadmap (2021), IFC’s financing package will foster competitiveness in the financial and real estate markets in the country,” said Elizabeth Martínez de Marcano, IFC´s country manager for the Andean region.

“Additionally, by supporting the growth of green buildings, an emerging green asset class in the local market, IFC will help strengthen the climate finance market, key for the nation’s future resilience.”

“IFC’s support will enable us to boost our capacity to engage with clients on green building certification and sustainable practices in agriculture and other sectors”

IFC will also equip the bank with its Excellence in Design for Greater Efficiencies (Edge) certification tool for green buildings.

“IFC’s funding will help the bank to continue providing longer-term loans while developing a green building pipeline. Given our sustainability strategy, IFC’s support will enable us to boost our capacity to engage with clients on green building certification and sustainable practices in agriculture and other sectors,” added Juan Carlos García Vizcaíno, general manager of BanBif.

“Additionally, the loan will help us diversify our funding sources allowing stronger capital buffers, crucial for post-Covid recovery.”

GHG emissions

As of May 2021, IFC reports it committed $9bn from its own account to climate related projects and leveraged an additional $4.3bn through some 200 emerging market financial institution partners. These investments support partners in avoiding GHG emissions of 15.9 million tons per year. In addition, IFC’s advisory services have facilitated its client financial institutions build climate finance portfolios of $28.7bn, avoiding annual GHG emissions of 92.9 million tons.

IFC, a member of the World Bank Group, claims it is the largest global development institution focused on the private sector in emerging markets.

In fiscal year 2022, IFC committed a record $32.8bn to private companies and financial institutions in developing countries, leveraging the power of the private sector to end extreme poverty and boost shared prosperity as economies grapple with the impacts of global compounding crises.