Finance Industry Transition Global South

The document argues that industrial decarbonization in the Global South faces steeper investment challenges than renewable energy, requiring custom solutions, innovative business models, and policy interventions to address high costs and perceived risks.

• Industrial energy efficiency in the Global South suffers from underinvestment caused by financial constraints and perceived risks, necessitating policy interventions that align with a post-2030 timeline for low-carbon solutions.
• The high cost of low-carbon solutions requires the development of innovative business models and improvements to the basic business case for green industrial production before commercial-scale financial risk mitigation can effectively address access to finance.
• Industrial decarbonization presents more complex investment challenges than renewable energy, characterized by higher market risk, technology uncertainties, and a lack of risk management structures.
• Transitioning industry in the Global South requires custom solutions and international finance mobilization because the policy directives, financial incentives, and decarbonization roadmaps found in developed markets may not exist in developing and emerging markets.

APA

Stockholm Environment Institute (2023). Finance Industry Transition Global South. https://www.sei.org/publications/finance-industry-transition-global-south/

Chicago

Stockholm Environment Institute. Finance Industry Transition Global South. 2023. https://www.sei.org/publications/finance-industry-transition-global-south/.

Wikipedia

{{cite report |author=Stockholm Environment Institute |title=Finance Industry Transition Global South |date=14 June 2023 |url=https://www.sei.org/publications/finance-industry-transition-global-south/ |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{stockholmenvironmentinstitute2023finance, author = {{Stockholm Environment Institute}}, title = {{Finance Industry Transition Global South}}, institution = {Stockholm Environment Institute}, year = {2023}, month = jun, url = {https://www.sei.org/publications/finance-industry-transition-global-south/}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }