In Latin America, physical climate risks are highest for energy and extractive sectors, lower for banks
Physical climate risk in Latin America and the Caribbean is especially significant for industries with fixed operating assets. Extreme climate events are disrupting operations more frequently while tightening supply chains across a wide range of sectors, including logistics and infrastructure, agriculture, mining, fishing, power generation, water utilities, and telecommunication. Latin American banks face indirect risks from their investment and lending portfolios.
Moody's Investors Service