FDN: Strengthening Climate Risk Management and Climate Strategy

Strengthening Climate Risk Management and Climate Strategy for the Financiera de Desarrollo Nacional (FDN)

Through two consecutive phases, ImplementaSur is supporting FDN in identifying climate-related risks, applying relevant methodologies, and implementing a structured capacity-building and knowledge-transfer program.

Service Strengthening Climate Risk Management and Climate Strategy

Year 2024-2026

Approach and Project Implementation

The project is structured in two consecutive and complementary phases. In Phase 1, ImplementaSur supported FDN in reviewing, assessing, and selecting methodologies for identifying both physical and transition climate risks. This phase also included reviewing the financed emissions pilot under the PCAF standard to ensure alignment with the institution’s infrastructure portfolio. In Phase 2, currently underway, the work is moving toward implementation. This includes updating the calculation of financed emissions, estimating the financial impact of climate risks, and strengthening internal capacities, with the goal of integrating these variables into FDN’s strategic decision-making processes.

Technical assessment of FDN’s previous exercises

National and international benchmarking of climate risk methodologies

Implementation of appropriate methodologies for its portfolio

Update of financed emissions calculations

Practical tools incorporating risk transfer approaches

Capacity-building and training program

Strategic Vision

FDN is a specialized institution focused on financing and structuring infrastructure projects developed within the framework of sustainable development in Colombia. As a development bank, it carries a heightened responsibility in managing climate risks, both due to its financial exposure and its alignment with national public policy. Supporting FDN in addressing its climate-related challenges contributes to generating structural, long-term impact by strengthening its ability to anticipate risks, channel financing toward resilient projects, and align with international standards such as TCFD and PCAF.