MARKET DEVELOPMENT

• Strengthen local enterprises and value chains: Since 2021, Banco Industrial has been supporting socially and environmentally favorable projects through its sustainable portfolio, focusing on green building and sustainable agriculture. The Bank aims to grow these portfolios between 2025 and 2029. Beyond financing, the bank provides its enterprise clients with payment solutions, process streamlining and digitalization services to support their growth.
• Promote market leadership in climate finance: In a market where sustainable lending practices are nascent, enhancing climate loan product frameworks and measurement methodologies could set a benchmark for best practices in the financial sector. As the largest financial institution in Guatemala, BISA is well‑positioned to influence market practices and encourage other financial institutions to adopt climate lending.

CLIMATE AND NATURE ACTION

• Contribute to climate change mitigation and adaptation: Guatemala is highly vulnerable to climate change, with agriculture affected by declining water availability and crop yields, and urban housing stock—94% of which is built with low‑quality materials—exposed to natural disasters. The transaction will channel 100% of proceeds to climate mitigation and adaptation projects, in line with the MDBs/IDFC Common Principles for Climate Finance. Financing will support the construction of certified green buildings (commercial and residential) and climate‑smart agriculture (CSA) practices, both critical for reducing emissions and enhancing resilience in Guatemala.
• Strengthen climate finance practices: Banco Industrial is expected to develop climate metrics to evaluate and monitor the performance of specialized climate assets, reinforcing its role in advancing sustainable finance in Guatemala.