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This research paper examines the role of local financial institutions (LFIs) in Ethiopia, Kenya, Uganda, and Tanzania in scaling up financing for the Productive Use of Renewable Energy (PURE) sector. It identifies significant demand for PURE technologies, particularly in agriculture, but notes that high up-front costs and LFI constraints—such as limited staff capacity and credit risks—hinder adoption. The paper suggests that LFIs can expand lending through green bonds, climate fund accreditation, and by increasing direct lending from their own balance sheets, supported by blended finance and de-risking instruments from development partners.