Financial Innovation and Climate Services Strengthen Livestock Farming in Guatemala

Livestock farming  is essential for Guatemala’s economy and the livelihoods of many communities. However, the challenges of climate change such as droughts, floods and other climatic variations, pose ongoing threats to the stability and growth of this sector. What is being done to address these challenges, and how are stronger tools being provided to livestock farmers to make their production more sustainable and financially viable?

One innovative response comes from the financial sector, especially the work done through microfinance institutions to offer loans tailored to the specific needs and risks of livestock farmers. These loans provide funds at affordable interest rates, as well as offering comprehensive solutions that address specific climate risks such as droughts, floods, frost, earthquakes and high temperatures. Trained technicians provide farmers with tools to increase their productivity and reduce losses due to climate change.