The Ecuadorian government announced on March 17 that it has started developing a Green Taxonomy, a tool designed to identify economic activities that protect the environment and direct both national and international investments toward sustainable projects. The initiative aims to support Ecuador in areas such as climate change mitigation and adaptation, water management, circular economy, pollution prevention, and biodiversity protection.
The development of the Green Taxonomy is seen as an important step for aligning the country’s economy with environmental conservation goals. The Ministry of Economy and Finance led one of several preparatory workshops for building the National Green Taxonomy, involving both private and public financial sectors. The event was supported by the Inter-American Development Bank, Global Green Growth Institute (GGGI), and UKPACT.
Kimberly Celis, undersecretary of monetary policy, finance, insurance, and securities, said: “Private banks and public development banks play a transversal role in green financing; therefore it is necessary to know their experiences and analyze opportunities to advance in building a National Green Taxonomy that strengthens trust, transparency, and quality in investment decisions and capital mobilization.”
Roberto Romero from the Association of Private Banks (ASOBANCA) shared his sector’s experience designing a sectoral green taxonomy. He said collaboration between institutions is important along with an inclusive approach that is gradual and pragmatic. Romero also highlighted the need for applied research, training programs, and medium-term pilot projects.
Jessenia Cazco from the Superintendency of Banks reported that since 2021 Ecuador’s private and public financial sectors have provided $4.643 billion in green loans: 47% went to climate change mitigation projects, 45% to adaptation initiatives, and 8% for other purposes. Cazco said this shows how the national financial system is moving toward more sustainable models.
The workshop was part of Ecuador’s Roadmap for constructing its Green Taxonomy. This roadmap was developed with technical support from GGGI through two complementary initiatives funded by UK Pact (Partnering for Accelerated Climate Transitions) and the Green Climate Fund (GCF).
The government said it remains committed to moving toward a greener, more inclusive, and resilient economic model.
