A Global Call to Action on Transition Finance at COP28

The document argues that transitioning the global economy to limit warming to 1.5°C requires between $200 trillion and $275 trillion by 2050. It proposes a common vision for transition finance based on credible decarbonization strategies, annual monitoring, and the avoidance of carbon lock-in. The letter outlines specific calls to action for the financial sector, governments, and issuers to overcome barriers such as greenwashing fears and high capital costs to mobilize capital for high-emitting sectors.

• Transitioning the global economy to meet 1.5°C goals will require an estimated capital investment of $200 trillion to $275 trillion by 2050.
• The deployment of transition-enabling capital is currently hindered by fears of greenwashing, insufficient policy and regulatory signals, high capital costs, technology and offtake risks, and a lack of bankable projects.
• The signatories define transition finance as enabling the decarbonization of high-emitting entities or hard-to-abate sectors through credible 1.5°C-aligned pathways, predicated on science-based strategies, tracked via annual monitoring, and designed to avoid carbon lock-in.
• The document calls for the financial sector to scale transition-linked products, develop internal guidelines, engage clients on transition activities, and report transition outcomes separately from financed emissions reporting.
• Governments are urged to create national transition plans, foster R&D for net-zero technologies in hard-to-abate sectors, and use public finance institutions to de-risk private investment.

APA

RMI (2023). A Global Call to Action on Transition Finance at COP28. https://rmi.org/resources/a-global-call-to-action-on-transition-finance/

Chicago

RMI. A Global Call to Action on Transition Finance at COP28. 2023. https://rmi.org/resources/a-global-call-to-action-on-transition-finance/.

Wikipedia

{{cite press release |author=RMI |title=A Global Call to Action on Transition Finance at COP28 |date=27 November 2023 |url=https://rmi.org/resources/a-global-call-to-action-on-transition-finance/ |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@misc{rmi2023global, author = {{RMI}}, title = {{A Global Call to Action on Transition Finance at COP28}}, publisher = {RMI}, year = {2023}, month = nov, url = {https://rmi.org/resources/a-global-call-to-action-on-transition-finance/}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }