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Climate finance in Africa grew by 48% between 2019/20 and 2021/22, reaching USD 43.7 billion, yet this remains only 23% of the annual funding required to meet 2030 NDC goals. Public finance dominates the landscape, providing 82% of total flows, while private finance is heavily concentrated in energy systems and a small number of countries. The report highlights a critical 'trilemma' where climate-vulnerable countries are often simultaneously debt-distressed and conflict-affected, further hindering their access to grants and affordable capital. Key recommendations include reforming domestic fiscal policies to remove fossil fuel subsidies, scaling the use of guarantees to de-risk private investment, and leveraging domestic institutional assets, such as pension funds, to reduce reliance on international debt.

Indonesia requires approximately USD 285 billion in climate-aligned investment to meet its Enhanced NDC, but current funding is insufficient. The government budget covers 34% of this need, while the financial sector (public and private) contributes 15%. Between 2015 and 2021, public and private financial institutions provided roughly equal amounts of climate-aligned investment, totaling USD 41.7 billion. Private investment is notably low, with only 3% of total private investment being climate-aligned, and much of this concentrated in land use. In the power sector, 58% of the USD 35.6 billion invested went to renewables, with a significant drop in coal finance since 2016. Future investment trends are expected to be driven by government policy signals such as the Just Energy Transition Partnership (JETP) and the Energy Transition Mechanism (ETM).