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Africa requires USD 277 billion annually to meet its 2030 climate goals, yet annual flows stand at only USD 30 billion. While the region shows a better balance between adaptation and mitigation than other global regions, private sector contribution remains low at 14%. The report recommends increasing concessional finance for hard-to-abate sectors, improving data tracking through 'climate tagging', and enhancing sub-national investment capabilities to bridge the financing gap.

The report identifies a significant gap between the climate goals of WAEMU member states and their financial capacity to implement them. While there is interest in green bonds, the market is hindered by underdeveloped regional financial infrastructure, a lack of technical expertise in green eligibility and reporting, and a dominance of sovereign debt that crowds out corporate issuers. The document recommends strengthening regulatory frameworks, providing technical assistance for project pipeline development, and utilizing risk-mitigation tools like guarantees to attract a more diverse investor base beyond commercial banks.

The report finds that while there is interest in Green Bonds in the WAEMU region, the market is in a nascent stage due to underdeveloped financial infrastructure, a lack of government focus on climate regulatory frameworks, and limited technical capacity among stakeholders. It identifies energy, agriculture, and clean transportation as priority sectors and recommends sustained capacity building, the development of regional guidelines, and the use of technical assistance and risk-transfer instruments to attract investors.

Climate Bonds Initiative introduces the 'Five Hallmarks of a Credibly Transitioning Company' to combat greenwashing in transition finance. These Hallmarks—Paris-aligned targets, robust plans, implementation action, internal monitoring, and external reporting—provide a science-based methodology to evaluate whether a company's transition is rapid enough to meet the 1.5C goal. The report details the integration of these Hallmarks into a new certification scheme for non-financial corporates and SLBs, emphasizing the need for common sectoral pathways over company-specific baselines. It also highlights the growth of the SLB market, particularly among high-emitting sectors, and the necessity of comprehensive scope 1, 2, and 3 emissions accounting to ensure transition credibility.

The paper identifies a critical lack of robust climate risk data and analysis in Africa, which may lead to incorrect asset valuations and increased financial stability and sovereign risks. It proposes a six-category framework for climate risk information—data, analysis, disclosure and reporting, targets, risk management, and capacity-building—to help financial decision-makers close these gaps. While all four studied countries have initiatives for disclosure and reporting, South Africa shows the most comprehensive approach, covering five of the six categories. The author recommends that countries integrate financial sector transformation into their Nationally Determined Contributions (NDCs) and expand climate risk mapping to include public financial institutions.

The report provides a comprehensive overview of Peru's sustainable finance landscape, detailing the growth of Green, Social, and Sustainability (VSS+) bonds. It highlights Peru's role as a regional pioneer, starting with the first green bond in Latin America in 2014, and examines the current market composition where sustainable bonds dominate. The document identifies significant investment gaps in infrastructure, water management, and low-carbon transport, while outlining a roadmap for growth involving key public and private stakeholders. It also addresses systemic barriers such as low market liquidity, currency risk, and the need for a national green taxonomy.

The report analyzes Peru's sustainable finance landscape, noting that while it was a regional pioneer with the first green bond in 2014, its GSS+ market has expanded more slowly than its peers. As of April 2022, the market reached approximately USD 6.6bn across 16 deals, dominated by sovereign sustainability bonds. The document identifies significant investment gaps in infrastructure (USD 110bn) and sanitation (USD 22bn), while highlighting opportunities in renewable energy, low-carbon agriculture, and nature-based solutions. It outlines structural barriers such as low market liquidity, currency hedging challenges, and political instability, and recommends the development of a national green finance taxonomy by 2025 to provide clarity and attract capital.

The report analyzes 93 green bonds totaling USD 93.3bn issued in H1 2022. It finds that green bonds generally outperformed vanilla equivalents in terms of book cover and spread compression in both EUR and USD markets. While 20% of the non-sovereign sample achieved a 'greenium' (pricing inside their own yield curve), the report notes that investors were more cautious due to geopolitical and macroeconomic volatility. Additionally, the analysis indicates that green bonds aligned with the Climate Bonds Database maintain better liquidity in the secondary market compared to vanilla and non-aligned green bonds, particularly in the real estate and utility sectors.

The Green Guarantee Company (GGC) is designed to unlock private institutional capital for climate projects in emerging and frontier markets by providing full hard-currency guarantees for bonds and loans of USD 50-200 million with maturities of 5-20 years. To address technical barriers, the GGC includes a USD 10 million technical assistance (TA) facility to build issuer capabilities and support certification against the Climate Bond Standard (CBS). The instrument will pilot in South Africa before expanding to other large emitters like Brazil, India, and Indonesia, and eventually to more vulnerable least developed countries. Financial modeling suggests the GGC can catalyze up to USD 10.6 billion in climate debt over 20 years, achieving operating breakeven within 3 to 7 years across various scenarios. Expected impacts include the addition of 7.97 GW of renewable energy capacity and the avoidance of approximately 75 Mt of carbon dioxide equivalent.

The report identifies subnational pension funds as a significant source of untapped capital for urban climate action, estimating at least USD 9.5 trillion in assets across Brazil, Canada, Germany, the Netherlands, South Africa, the UK, and the US. It details structural barriers such as low risk appetite and limited fund size, as well as external barriers like a lack of bankable project pipelines and ticket size mismatches. To overcome these, the document recommends the use of financial instruments such as blended finance, green bonds, and supply-side aggregation (pooling), while urging funds to make net zero commitments and build internal capacity.

The report finds a massive gap between Africa's annual climate finance needs (USD 277 billion) and actual flows (USD 29.5 billion). While international public finance dominates, private sector contribution is low at 14%. Finance is heavily concentrated in a few countries and sectors, with energy receiving the most investment, while agriculture, forestry, and other land use (AFOLU) remains underfunded. The report recommends scaling up concessional finance, improving data tracking, and catalyzing private investment to meet 2030 goals.

The methodology for the Landscape of Climate Finance in Africa 2022 defines the scope, terminology, and data treatment used to capture climate finance flows across the continent. It utilizes a combination of public and proprietary data from sources such as BNEF, OECD, and the Climate Bonds Initiative, focusing on mitigation, adaptation, and dual-benefit finance. The document details sector classifications—ranging from energy systems to agriculture—and regional groupings based on UN standards. It also identifies significant data gaps, including the difficulty of tracking domestic budget expenditures, private sector investments in adaptation, and the lack of official reporting on Chinese investments in Africa.

Africa requires USD 277 billion annually to meet its 2030 climate goals, yet only USD 29.5 billion was tracked in 2019/2020. International public finance dominates the landscape, while private sector contributions remain low at 14%. The report highlights significant investment gaps, particularly in Southern Africa, and a critical need to shift funding from fossil fuels toward renewable energy and adaptation, especially in the agriculture, forestry, and other land use (AFOLU) sector.

The document argues that Africa faces an annual financing gap of over $100 billion to preserve its natural capital, which is critical for global climate and biodiversity goals. It proposes a 'triple bottom line' approach—combining financial returns, environmental impact, and community benefits—applied through landscape financing, restorative agriculture, and sustainable supply chains. The paper identifies green bonds, carbon credits, and impact investing as key financial mechanisms and calls for stronger regulatory frameworks, such as the adoption of Taskforce on Nature-related Financial Disclosures (TNFD) guidelines, to attract private capital and prevent 'nature-washing'.

The report examines how global shocks have exacerbated chronic fiscal and current account imbalances in five Sub-Saharan African nations. It highlights severe liquidity and solvency risks, particularly regarding external debt in Ethiopia, Ghana, and Kenya. The authors argue that while some countries used debt monetization and financial repression to manage short-term costs, these practices inhibit long-term financial market development and fuel inflation. The document recommends strengthening public debt management, diversifying funding sources, and transitioning toward market-conform policies to avoid debt distress and encourage private sector credit.

The report assesses the private debt landscape in Africa, noting that while the market is growing, it remains heavily dominated by Development Finance Institutions (DFIs) and Multilateral Development Banks (MDBs), primarily in hard currency. It highlights a significant gap in local institutional investor participation due to regulatory constraints, risk aversion, and a lack of local currency vehicles. The study provides detailed analysis of focus markets—Nigeria, Kenya, Ghana, and Morocco—and uses South Africa as a reference for a more developed financial sector. Key recommendations include the introduction of credit enhancement facilities, improved data transparency, and the creation of local currency investment vehicles to reduce foreign exchange risk for borrowers and attract domestic pension funds.

The proposal seeks USD 627,331 over 24 months to help Costa Rica mobilize private finance for its National Decarbonization Plan (NDP) and Nationally Determined Contribution (NDC). It focuses on creating a national sustainable finance taxonomy and implementing Task Force on Climate-related Financial Disclosures (TCFD) recommendations for the banking and insurance sectors. Key activities include establishing a Financial Advisory Group (FAG), developing a GCF Country Programme, and creating online reporting modules within the SINAMECC and SICVECA platforms. The project aims to address gaps in climate risk data and the lack of unified classification systems for green investments.

In the first half of 2022, GSS+ bond issuance totaled $417.8 billion, a 27% year-on-year decrease attributed to inflation and the Russia-Ukraine conflict. Green bonds remained the dominant category, with China leading in issuance volume. The report highlights the growth of transition bonds, particularly in Japan and China, and discusses the evolving landscape of global sustainable finance taxonomies, including the EU's inclusion of gas and nuclear energy.

The Climate Bonds Initiative (CBI) established the Social and Sustainability Bond Database (SSBDB) to provide transparency on global social and sustainability debt. The methodology employs a three-step screening process—identification, use of proceeds (UoP) analysis, and SDG mapping—to determine eligibility. To be included, instruments must be self-labelled by the issuer, provide sufficient public disclosure, and not breach minimum climate safeguards. The SSBDB covers social bonds, sustainability bonds, and sustainability-linked bonds (SLBs), with some instruments appearing in both the SSBDB and the Green Bond Database if they meet the requirements of both.

In H1 2022, cumulative GSS+ labelled debt reached USD 417.8 billion, a 27% year-on-year decrease attributed to inflation and market volatility following the Russian invasion of Ukraine. Green bonds remained the dominant theme, accounting for 52% of H1 volumes, while transition-themed Use of Proceeds (UoP) bonds saw a 2.5-fold increase from Q1 to Q2. The report highlights the expansion of sovereign GSS+ issuance, the introduction of the EU's Complementary Delegated Act including nuclear and gas, and the proliferation of national sustainable finance taxonomies in jurisdictions such as Colombia and South Africa.