POLITICAL ECONOMY OF CLIMATE FINANCE IN AFRICA

The document analyzes the political economy of climate finance in Africa, arguing that the system is dominated by the Global North and market-driven logics that privilege mitigation over adaptation. It highlights how the 'financialization' of climate action shifts risk to vulnerable individuals and exacerbates debt crises in African nations. Through case studies of Ghana, Kenya, and Zimbabwe, the paper illustrates the challenges of tracking funds and the limited influence of civil society. It recommends the creation of localized African financing institutions and the use of debt-for-climate swaps to improve sustainability and equity.

• There is a significant imbalance in global climate finance, with the vast majority of funds directed toward mitigation rather than adaptation. In 2016, 93% of global climate finance was destined for mitigation strategies, while only 5.3% went to adaptation.
• Climate finance instruments vary in accessibility; grants are more accessible to African countries and are typically linked to adaptation projects, whereas green debt is more common in the Global North and associated with mitigation.
• Power in climate finance is distributed unevenly among stakeholders: state coalitions control project planning, the private sector controls post-implementation, and civil society has limited influence due to a lack of technical and financial resources.
• The 'financialization' of climate change management creates products like green bonds that prioritize investor profits and shift economic risks toward vulnerable populations who cannot control them.
• Climate disasters and the resulting need for reconstruction loans exacerbate the debt crisis in African countries, creating a cycle where high debt levels further limit the ability to borrow for future climate resilience.
• In Ghana, the implementation of the National Climate Change Policy (NCCP) was estimated to cost US$ 9.3 billion for 2014-2020, but the country lacks an explicit funding strategy and mechanisms to track external resources.
• Kenya has established a sophisticated policy framework, including the Climate Change Act of 2016, and has attracted approximately US$ 4.6 billion for projects, though this remains below its annual target of US$ 3.2 billion.
• Zimbabwe sourced approximately US$ 535 million in climate funding between 1991 and 2020, with the majority (74%) coming from the GCF, GEF, and CTCN, and a preference for mitigation over adaptation.

APA

Dube, N. (n.d.). POLITICAL ECONOMY OF CLIMATE FINANCE IN AFRICA. African Forum and Network on Debt and Development. https://afrodad.org/sites/default/files/publications/POLITICAL-ECONOMY-OF-CLIMATE-FINANCE-IN-AFRICA.pdf

Chicago

Dube, Nqobizitha. POLITICAL ECONOMY OF CLIMATE FINANCE IN AFRICA. African Forum and Network on Debt and Development, n.d. https://afrodad.org/sites/default/files/publications/POLITICAL-ECONOMY-OF-CLIMATE-FINANCE-IN-AFRICA.pdf.

Wikipedia

{{cite report |last1=Dube |first1=Nqobizitha |title=POLITICAL ECONOMY OF CLIMATE FINANCE IN AFRICA |publisher=African Forum and Network on Debt and Development |url=https://afrodad.org/sites/default/files/publications/POLITICAL-ECONOMY-OF-CLIMATE-FINANCE-IN-AFRICA.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{dubendpolitical, author = {Dube, Nqobizitha}, title = {{POLITICAL ECONOMY OF CLIMATE FINANCE IN AFRICA}}, institution = {African Forum and Network on Debt and Development}, url = {https://afrodad.org/sites/default/files/publications/POLITICAL-ECONOMY-OF-CLIMATE-FINANCE-IN-AFRICA.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }