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FSD Africa expresses its support for the second Africa Climate Summit (ACS2) in Addis Ababa, emphasizing the need to mobilize domestic private capital and demonstrate that climate investment and economic growth are complementary goals.

This policy brief by the Africa Policy Research Institute examines the role of private sector investment in unlocking Africa's renewable energy (RE) potential. Using Nigeria as a case study, it identifies financial, regulatory, and infrastructural barriers that hinder the scaling of clean energy and provides strategic recommendations to create a more predictable and attractive investment environment.

The Stockholm Environment Institute's (SEI) Finance for Sustainable Development (FSD) Program, established in 2022, focuses on bridging the gap between micro-level business viability and macro-level climate and development finance policies. The program specifically targets low- and lower-middle-income countries (LLMICs) to identify how sustainable projects can generate private economic value and attract private-sector investment through research, advisory services, and training.

This policy brief identifies five systemic barriers preventing African countries from accessing necessary climate finance and proposes specific interventions to enable a just climate transition.

This report by the Climate Policy Initiative analyzes climate finance flows in Burkina Faso for the 2019/2020 period. It identifies a significant investment gap, noting that the USD 567 million invested represents only 13% of the USD 4.1 billion required by 2050 to meet the country's Nationally Determined Contribution (NDC). The analysis highlights a heavy reliance on international public funding and suggests policy and financial reforms to mobilize private capital and improve fiduciary standards.

This report by the International Institute for Sustainable Development (IISD) analyzes 24 financing strategies for climate adaptation in developing countries, categorized into discrete adaptation strategies and general climate action strategies. It evaluates how these documents are developed, the role of multilateral development banks (MDBs), and their effectiveness in mobilizing finance. The report identifies a need for better integration between ministries of finance and climate leads, more strategic use of public grants to leverage private investment, and improved country-level tracking of climate finance flows.

This report by FSD Africa and Climate Policy Initiative (CPI) analyzes the climate finance needs of African countries based on their Nationally Determined Contributions (NDCs). It estimates that implementing these NDCs between 2020 and 2030 will cost USD 2.8 trillion, with a funding gap of USD 2.5 trillion that must be met by international and private sources. The report highlights significant data gaps in adaptation needs and sectoral disaggregation, and recommends that the UNFCCC provide standardized guidance to help countries develop robust, bottom-up financing roadmaps.

This policy brief by the South African Institute of International Affairs argues that scaling up adaptation finance is critical for Africa's sustainable development, as the region is highly vulnerable to climate change despite low emissions. It identifies significant funding gaps and barriers—including a lack of 'bankable' proposals and a perception that adaptation projects lack private sector viability—and proposes several innovations to attract both public and private capital.

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.

This policy briefing examines the barriers to and enablers of private sector climate finance in Africa, emphasizing the need for supportive regulatory environments, credit enhancement mechanisms, and the development of bankable projects to meet the region's significant mitigation and adaptation funding needs.

This briefing by the Stockholm Environment Institute examines the role of private-sector investment in climate change mitigation within Sub-Saharan Africa, focusing on UNFCCC-backed instruments and national policies to identify effective levers for mobilising finance to meet nationally determined contributions (NDCs).

This working paper by Charlotte Ellis and Kamleshan Pillay discusses the necessity of private sector finance to meet global climate goals, outlining key lessons from the Climate and Development Knowledge Network (CDKN) on creating enabling environments for such investment.

This research paper examines the role of innovative risk finance, specifically insurance, in overcoming barriers to geothermal power development in Kenya and Ethiopia. It details a project by Parhelion, funded by the Climate and Development Knowledge Network (CDKN), which provided technical training to local stakeholders to increase the use of risk mitigation instruments and leverage private sector capital.

This policy brief discusses the role of Nationally Appropriate Mitigation Actions (NAMAs) in translating Nationally Determined Contributions (NDCs) into bankable low-carbon investments by leveraging public support to mobilize private sector capital.

This report by the Climate Policy Initiative evaluates the role of the Climate Investment Funds (CIF) within the evolving global climate finance landscape. It assesses the CIF's comparative advantage against other multilateral funds, such as the Green Climate Fund (GCF) and the Global Environment Facility (GEF), and recommends maintaining the CIF's operations to bridge investment gaps and support the implementation of Intended Nationally Determined Contributions (INDCs).

This research paper examines implementation methods for the "Food Security in a Climate Perspective strategy 2013-15," focusing on private sector development and public-private partnerships (PPP) in agriculture, climate change, and food security across five African nations.

This case study examines the role of public finance in mitigating early-stage exploration risks for geothermal energy, focusing on the Gümüşköy Geothermal Power Plant in Turkey as the first instance of private sector financing for an unproven field in the country.

This briefing describes the Government of Kenya's efforts to expand geothermal power production to support low-carbon development through a Nationally Appropriate Mitigation Action (NAMA), focusing on the challenges of private sector mobilization and the lessons learned during the NAMA's development.

This briefing describes the development of a Nationally Appropriate Mitigation Action (NAMA) by the Government of Kenya to accelerate the expansion of geothermal power. The NAMA aims to mobilize private investment to support the country's low-carbon development goals, specifically targeting an increase in geothermal capacity to 5,000 MW by 2030. The document details the institutional challenges faced during the NAMA's creation, including stakeholder buy-in, financial partner engagement, and the difficulty of demonstrating 'additionality' in a sector already receiving significant investment.

This research synthesis brief from the Stockholm Environment Institute (SEI) outlines the organization's work on climate finance and carbon markets, focusing on the governance of adaptation finance, the limitations of private sector investment in vulnerable regions, and the environmental integrity of the Clean Development Mechanism (CDM).