Transformative Low Carbon and Climate Resilient Pathways of Costa Rica

Costa Rica has ambitious NDC and SDG goals to become a resilient, inclusive and carbon neutral economy by 2050. However, there is a lack of capacities in order to develop “green and blue” production standards in relevant sectors. TRANSFORMA consolidates a country driven stakeholder coordination and NAMAs in the agricultural sector. It is aiming to conserve coastal marine biodiversity, as well as to create innovative financing incentives to unlock additional financial resources and stimulate private sector investments. Fishery families and farmers in coffee, livestock and banana production benefit directly due to low carbon and climate resilient value chains. The outputs and results of TRANSFORMA are contributing to long-term climate resilience, ecological sustainability of key ecosystems, significantly achieving Costa Rica’s decarbonisation of its economy.

Project data

Countries
Costa Rica
IKI funding
12,312,000.00 €
Included preparation phase
228,000.00 €
Duration
10/2021 till 09/2026
Status
open
Implementing organisation
Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) GmbH
Political Partner
  • Ministry of Environment and Energy (MINAE) - Costa Rica
Implementing Partner
  • Conservation International (CI)
  • CRUSA Costa Rica United States of America Foundation for Cooperation
  • FUNBAM Fundación Banco Ambiental
  • Tropical Agricultural Research and Higher Education Center (CATIE) - Costa Rica
  • United Nations Development Programme (UNDP)

State of implementation/results

  • 568 farmers participated in field days to learn from successful low carbon livestock experiences (25% women). More than 2000 coffee farmers (23% women) were trained on good agricultural practices (GAP) during field days in coordination with the Min. of Agriculture (MAG) and the Nat. Coffee Institute (ICAFE). A diagnosis on low carbon manufacturing practices was implemented on 30 coffee processing plants.
  • 54 small- and medium-scale Musaceae farms (20% indigenous-owned) are implementing two GAP on 147.5 hectares, through training and technical support provided by Tropical Agricultural Research and Higher Education Center (CATIE) and MAG.
  • Relevant actors like MAG, ICAFE, and the Banana Corporation (CORBANA) determined the ex-ante baseline for coffee, livestock and Musaceae farms jointly with UNDP. Additionally, crop cover maps (2021 and 2022) for the three land sectors were generated and presented.
  • The Nat. Forest Fund´s (FONAFIFO) financial mechanisms (loans and PES) are being promoted by Fundación Banco Ambiental (FUNBAM) to foster agroforestry in the three land sectors. Additionally, the rulebooks of two loan funds hosted by FONAFIFO will be published in the official journal by 10/25, making loans available for investing in TRANSFORMA’s prioritised sectors. The application process will be supported by GIZ and FUNBAM. The National Development Bank System (SBD) adopted its sustainability policy. A pilot phase is being implemented, including support for allocating loans through a dedicated credit mechanism. CATIE and GIZ developed a manual for regenerative coffee, which is key to unlocking funds from the bank BAC. FUNBAM will support upscaling the Min. of Environment´s new program to protect marine ecosystems and provide additional income to coastal residents to reward their contribution to the protection of mangroves and sustainable mussel fishing.
  • 308 cattle farmers initiated the transformation of their farms and are implementing low carbon good livestock practices (GLP). FUNDECOOPERACION provided seed capital from TRANSFORMA and the project "Scaling ADAPTA2”, through a matching fund scheme. Farmers are currently accessing loans to deepen GLP implementation.
  • 64 small and medium enterprises in the banana sector are receiving seed capital to improve sustainable production (49% women and 45% indigenous owned). ACTIVA-CATIE provided seed capital from TRANSFORMA and SBD via a matching fund scheme.
  • 66 initiatives from actors of the value chains of the three land sectors are implementing a wide range of technological innovations aiming at improving sustainable, resilient, and low carbon production.
  • Four communities of practice have been established in coastal communities and terrestrial sectors, focusing on sustainable value chains and knowledge exchange.
  • Five small-scale coastal fishing and aquaculture value chains were prioritised. Based on this prioritisation, ten holistic improvement plans were developed.
  • Local restoration plans and conservation agreements for mangroves are currently being implemented. Local stakeholders (e.g. fishing communities, women's cooperatives and other grassroots organisations) are increasingly engaged and trained.

Latest Update:
12/2025

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