Building the foundations for just transition finance in Brazil

In Brazil, the ILO is partnering with GIZ, the Institute for Applied Economic Research (Ipea) and Brazil’s Ministry of Finance on a research project focused on just transition finance. The project aims to strengthen both the understanding and the practical application of just transition principles within the Brazilian financial system, supporting the design and implementation of policies, strategies and financial instruments that enable a fair and inclusive transition to a sustainable economy.

In collaboration with a group of researchers, the project has produced a set of scientific articles and technical notes analysing how just transition considerations can be integrated into financial decision-making in the Brazilian context. The research covered a range of priority themes relevant to Brazil, including climate risks and the country’s economic structure; sectoral dimensions of the transition, with a particular focus on just transition challenges and opportunities in the energy and agricultural sectors; regional aspects of the transition; links between just transition, the Brazilian Sustainable Taxonomy and financial instruments; and the role of cities in financing the transition.

Across all themes, the project applied a people-centred and evidence-based understanding of just transition, with a focus on how financial policies, instruments and services can address social, environmental, climate and economic challenges in an integrated manner.

The project culminated in the publication of a collective book compiling the articles in June 2026, contributing to national and international debates on just transition finance.