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This policy brief from LeadIT, published by the Stockholm Environment Institute, examines the role of international financial institutions (IFIs) in financing the decarbonization of heavy industry within emerging and developing economies, identifying current barriers and recommending the use of blended finance and concessional capital to scale breakthrough technologies.

This report analyzes the effectiveness of climate finance, identifying a significant gap in the tools and methodologies used to measure the impact of funding flows to developing countries. It evaluates practices across public finance, international financial institutions (IFIs), and market-based instruments, concluding that current project-based evaluations are insufficient for the scale of financing required to meet the Cancún Agreements' target of $100 billion per year by 2020.