The Inter-American Development Bank (IDB) will support energy efficiency financing through the issuance of Green Bonds in Mexico, according to news reports.

Alongside the Clean Technology Fund (CTF), the bank has closed the first phase of a $125m financing round for energy efficiency projects developed by Mexican energy service companies (ESCOs).

The financing is being done through the issuance of green bonds in the local capital markets.

Official estimates predict potential savings in final energy consumption resulting from the implementation of energy efficiency mechanisms ranging from 34,800 to 40,500 GWh in a decade.