An African Climate Finance Agenda for COP26

This research paper, published by the South African Institute of International Affairs (SAIIA), outlines a proposed African climate finance agenda for the COP26 summit. Based on stakeholder dialogues conducted between April and October 2021, the document identifies critical gaps in the quantum and quality of climate finance reaching Africa, emphasizing the need for increased adaptation funding, streamlined access to the Green Climate Fund (GCF), and the creation of national enabling environments to attract private investment.

• African countries face significant financial gaps for climate action, with NDCs requiring approximately $3 trillion by 2030. Despite this, Africa is estimated to receive only about 3% of global climate finance flows.
• There are systemic barriers to accessing climate finance, including onerous loan conditionalities, complex procedural requirements, and difficult accreditation processes for the Green Climate Fund (GCF). These challenges particularly hinder private sector involvement and the implementation of NDCs.
• Adaptation finance is insufficient and often sidelined in favor of mitigation. Stakeholders recommend that international climate finance institutions commit to a specific percentage share of funding for adaptation and that the GCF relax evidentiary requirements for adaptation projects, which are often deemed to lack a sufficient 'climate case'.
• To unlock private sector investment, African governments must establish transparent, predictable, and inclusive policy processes and reduce regulatory 'red tape'. Recommendations include using credit-enhancement mechanisms for blended finance to de-risk investments and developing instruments specifically for small and medium enterprises.
• The COVID-19 pandemic has exacerbated debt and liquidity crises in Africa, leading to a decline in grant-based public funding and an increase in commercial loans with high conditionality. Stakeholders advocate for 'green stimulus packages' and diverse instruments such as debt-for-nature or debt-for-climate swaps to support recovery and decarbonization.
• A 'just transition' for fossil-fuel dependent African states requires a rearticulation of the concept to focus on adaptation finance and access. This includes the need for transitional finance and a consultative process to ensure the burden of transition does not fall on the most vulnerable.

APA

RUMBLE, O., & BENKENSTEIN, A. (2021). An African Climate Finance Agenda for COP26. South African Institute of International Affairs. https://saiia.org.za/wp-content/uploads/2021/10/Discussion-Paper_ClimFinReport_FINAL_20211018.pdf

Chicago

RUMBLE, OLIVIA, and ALEX BENKENSTEIN. An African Climate Finance Agenda for COP26. South African Institute of International Affairs, 2021. https://saiia.org.za/wp-content/uploads/2021/10/Discussion-Paper_ClimFinReport_FINAL_20211018.pdf.

Wikipedia

{{cite report |last1=RUMBLE |first1=OLIVIA |last2=BENKENSTEIN |first2=ALEX |title=An African Climate Finance Agenda for COP26 |publisher=South African Institute of International Affairs |date=25 October 2021 |url=https://saiia.org.za/wp-content/uploads/2021/10/Discussion-Paper_ClimFinReport_FINAL_20211018.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{rumble2021african, author = {RUMBLE, OLIVIA and BENKENSTEIN, ALEX}, title = {{An African Climate Finance Agenda for COP26}}, institution = {South African Institute of International Affairs}, year = {2021}, month = oct, url = {https://saiia.org.za/wp-content/uploads/2021/10/Discussion-Paper_ClimFinReport_FINAL_20211018.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }