Parameters for cooperation to foster green industrialisation: Reflections for a G20 Pledge on green industrialisation and development

The document examines the differing motivations for green industrialisation between African nations, which prioritise economic diversification and job creation, and high-income countries, which focus on decarbonisation and geopolitical competitiveness. It highlights the financial gap facing developing countries, noting that adaptation finance needs are projected to reach USD 215-387 billion annually until 2030. The author argues that while developed nations use industrial policies to secure critical raw materials and maintain a competitive edge, Africa seeks to transition from raw material exports to value addition. To bridge these gaps, the paper recommends that the G20 facilitate affordable green technology transfer, coordinate non-debt-creating climate finance, and support the establishment of mineral value chains close to their source in Africa.

• There is a significant financial gap for developing countries' climate goals, with adaptation finance needs projected to be USD 215-387 billion annually until 2030, and clean energy requirements of USD 4.3 trillion per year until 2030, rising to USD 5 trillion annually until 2050 for Net Zero emissions.
• High-income countries use green industrialisation policies as tools for geopolitical and economic competitiveness. The EU's Clean Industrial Deal views decarbonisation as a "security imperative", the USA's Inflation Reduction Act (IRA) allocates approximately $369 billion to expand local green industries and transportation, and China uses state-level centralised planning to lead in low-carbon industries.
• African countries view green industrialisation as a means to break commodity dependence and create jobs, whereas developed nations often prioritise GHG emission reductions and securing access to critical raw materials, creating a potential rift in how the process is approached.
• Unilateral trade and investment policies and standards implemented by developed countries to advance sustainability may isolate developing nations and hinder their structural economic transformation.
• The G20 should implement a framework for inclusive green industrialisation that includes aligning trade policies with SDGs, facilitating affordable technology transfer, and increasing grant-based, non-debt-creating finance.
• To foster value addition in Africa, the G20 should support the establishment of supply chains near upstream production hubs, particularly for critical minerals, as Africa holds 19% of the global mineral reserves required for electric vehicles.

APA

Manchisi, S. (2025). Parameters for cooperation to foster green industrialisation: Reflections for a G20 Pledge on green industrialisation and development. African Future Policies Hub. https://img1.wsimg.com/blobby/go/b2d05cc3-7b8c-4f0d-a62a-66af7434f28f/downloads/c7baa61f-f57d-4e08-9f4f-bd8672e126cb/Parameters%20for%20cooperation%20to%20foster%20green%20ind.pdf?ver=1780902965964

Chicago

Manchisi, Shimukunku. Parameters for cooperation to foster green industrialisation: Reflections for a G20 Pledge on green industrialisation and development. African Future Policies Hub, 2025. https://img1.wsimg.com/blobby/go/b2d05cc3-7b8c-4f0d-a62a-66af7434f28f/downloads/c7baa61f-f57d-4e08-9f4f-bd8672e126cb/Parameters%20for%20cooperation%20to%20foster%20green%20ind.pdf?ver=1780902965964.

Wikipedia

{{cite report |last1=Manchisi |first1=Shimukunku |title=Parameters for cooperation to foster green industrialisation: Reflections for a G20 Pledge on green industrialisation and development |publisher=African Future Policies Hub |date=May 2025 |url=https://img1.wsimg.com/blobby/go/b2d05cc3-7b8c-4f0d-a62a-66af7434f28f/downloads/c7baa61f-f57d-4e08-9f4f-bd8672e126cb/Parameters%20for%20cooperation%20to%20foster%20green%20ind.pdf?ver=1780902965964 |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{manchisi2025parameters, author = {Manchisi, Shimukunku}, title = {{Parameters for cooperation to foster green industrialisation: Reflections for a G20 Pledge on green industrialisation and development}}, institution = {African Future Policies Hub}, year = {2025}, month = may, url = {https://img1.wsimg.com/blobby/go/b2d05cc3-7b8c-4f0d-a62a-66af7434f28f/downloads/c7baa61f-f57d-4e08-9f4f-bd8672e126cb/Parameters%20for%20cooperation%20to%20foster%20green%20ind.pdf?ver=1780902965964}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }