Peril and Promise: Tackling Climate Change in Latin America and the Caribbean

The 2025 edition of the Inter-American Development Bank’s flagship “Development in the Americas” report series, explores why investing in climate resilience and reducing greenhouse gases is a strong plan for economic growth.

Climate change presents both a critical threat and a unique opportunity for progress in Latin America and the Caribbean (LAC). According to the authors, too often, resilience and emission-reduction investments are only considered in terms of avoided peril in the long term, but the benefits and promise in the short to medium terms have been grossly undervalued. It is estimated that achieving net-zero carbon emissions by 2050 could generate between 1 trillion and 3 trillion dollars above and beyond investment costs for LAC region.

Successful climate action will require widespread public support, grounded in a shared perception that policies are fair and effective. This publication can serve as a resource for governments, the private sector, and citizens in their quest to navigate these perils while seizing the promise that climate action can offer.