Search Climate Insights Directory

The report finds that while Zambia, Zimbabwe, and Malawi have adopted progressive PFM legislation, there is a systemic failure in implementation, leaving them vulnerable to unsustainable debt and illicit financial flows. It highlights that parliamentary oversight is often non-binding and that there are significant gaps in guarding against 'debt vultures'. The SADC PF Model Law is presented as a framework to harmonize these systems, emphasizing the need for binding audit recommendations, inter-agency collaboration to fight illicit financial flows, and stricter debt contracting safeguards.

The case study finds that while Malawi has a Climate Change Policy and priority areas in its Growth and Development Strategy, ministries are not yet using long-term climate projections in decision-making. Barriers include a perceived lack of sub-national and sector-specific data, timing mismatches with planning cycles, and difficulties in accessing technical information. Planners identified a need for multi-year forecasts (up to five years) and information on extreme events like floods and droughts to inform medium- and long-term planning.

The Committee on the Elimination of Discrimination Against Women (CEDAW) issued climate-related recommendations or questions to 35 out of 43 States considered in 2023. The Committee primarily focused on the differentiated impact of climate change on women, emphasizing the need for gender-responsive strategies in adaptation and disaster risk reduction, as well as the increased vulnerability of rural, Indigenous, migrant, and refugee women. While less frequent than adaptation, the Committee also addressed mitigation policies, fossil fuel extraction—specifically criticizing Norway's expansion of oil and gas permits in the Arctic—and the necessity of women's participation in the UNFCCC loss and damage fund.

The document examines the World Bank's historical reluctance to integrate non-economic factors—specifically governance, civil society, and human rights—into its development mission. It argues that the Bank's adherence to a strict interpretation of its Articles of Agreement leads to an ad hoc approach to governance and a failure to protect civil and political rights. While noting progress in 'mainstreaming' public participation and the creation of the Inspection Panel, the author contends that these efforts are often superficial or undermined by an institutional 'culture of approval' that prioritizes loan volume over project quality.

The document catalogues alleged human rights implications across numerous international projects in sectors such as mining, energy, and forestry. It organizes these cases by the specific right implicated, including the rights to adequate food, housing, health, and life, as well as freedoms from forced labor and torture. The case studies highlight recurring issues such as forced resettlement, environmental contamination of water and land, the use of military force to suppress protests, and inadequate compensation for displaced populations.

The document defines a 'Just Transition' as a framework to ensure that the shift toward a green economy is fair and inclusive, preventing vulnerable populations from bearing disproportionate costs. It traces the concept's evolution from 1980s US trade union concerns over pollution regulations to a broader global framework integrated into the UNFCCC and the 2015 Paris Agreement. The text emphasizes three types of justice—procedural, distributional, and restorative—and argues that transition planning must be participatory and cross-governmental. Using Malawi's agricultural mechanization as an example, it illustrates how top-down transitions can marginalize smallholder farmers despite overall GDP growth. While historically focused on the energy sector and fossil fuel phase-outs, the document asserts that Just Transition principles are equally critical for sectors like agriculture, transport, waste, and forestry, especially regarding adaptation priorities in the global south.

The document argues that meaningful participation from diverse, affected groups is essential for a just transition to ensure procedural justice, improve policy efficiency, and increase ownership of climate policies. It identifies barriers to engagement, such as time constraints, costs, and low trust, and suggests a people-centered design approach to overcome them. The text highlights the necessity of coordination bodies to manage state and non-state actors across different political levels. Examples include Costa Rica's Just Transition Governance Scheme and South Africa's Presidential Climate Commission, both of which serve as platforms for multi-stakeholder collaboration and policy co-creation.

The document argues for a broad interpretation of Just Transitions that encompasses procedural and distributional justice across multiple sectors, moving beyond a narrow focus on the energy workforce. It provides six practical recommendations for operationalisation, including the need for reliable data, stakeholder forums, and place-based solutions. The submission highlights specific challenges in the Global South, such as high employment informality and unequal energy access, and suggests that the JTWP can enhance ambition by integrating Just Transitions into NDCs and fostering high-level political buy-in. It includes case studies from various countries to illustrate different transition pathways and the importance of coordinating top-down and bottom-up approaches.

Risk pooling aggregates risks across geographies or portfolios to lower volatility and reduce reinsurance costs, providing rapid, rules-based liquidity after disasters. These mechanisms, including parametric pools and catastrophe (CAT) bonds, address credit, liquidity, and market risks by combining exposures and transferring high-risk layers to global capital markets. Examples include the Caribbean Catastrophe Risk Insurance Facility (CCRIF), African Risk Capacity (ARC), and the Pacific Catastrophe Risk Insurance Company (PCRIC), which have provided millions in payouts for cyclones, droughts, and floods. Implementation requires specific internal and regulatory capacities, ranging from basic budgeting for premiums to the legal ability to issue sovereign CAT bonds. While risk pools can reduce costs by 40–50% compared to standalone insurance, challenges such as basis risk, data gaps, and budget trade-offs persist.

The document critiques the 'new' Green Revolution in Africa, which it describes as a corporate takeover driven by multinational agribusinesses and philanthropic foundations. It highlights the risks of genetically modified (GM) crops and synthetic fertilisers, contrasting these with the benefits of agroecology. The report argues that small-scale farmers, who produce 80% of the food consumed in Africa, are the key to food security and should be supported through policy reforms that prioritise public goods and ecological sustainability over private corporate profit.

The report identifies that while insurance innovation exists across Ethiopia, Ghana, Kenya, Malawi, Nigeria, Rwanda, Uganda, and Zimbabwe, it is not yet leveraged to reach underserved segments like MSMEs and rural inhabitants at scale. Key constraints include high mobile data costs, low consumer trust, a significant STEM skills gap, and risk-averse corporate boards. Regulatory frameworks are generally not seen as major barriers, but gaps remain in digital onboarding clarity and license categories for insurtechs. The document recommends that regulators move beyond formal regulation to use proactive market engagement, streamlined supervisory processes, and upgraded digital monitoring systems to foster inclusive insurance growth.

FSD Africa co-funded the Digital Frontiers Institute (DFI) from 2016 to 2021 to train digital finance professionals in low-middle income countries. The partnership established the Certified Digital Finance Practitioner (CDFP) qualification and reached over 15,000 professionals. Key achievements include the creation of 22 Communities of Practice across 20 countries and the development of 47 DFS regulations, policies, or directives.

The study examines how COVID-19 affected the fiscal positions and debt sustainability of MEFMI member countries, noting a sharp increase in average debt-to-GDP ratios from 63.6% in 2019 to 70.6% in 2020. It highlights the critical role of Local Currency Bond Markets (LCBMs) and international initiatives like the Debt Service Suspension Initiative (DSSI) in maintaining stability. The report identifies significant gaps in operational risk management, specifically the absence of business continuity plans in most member states, and recommends strengthening institutional capacity, technology investment, and the development of transparent debt management strategies to build future resilience.

The COVID-19 pandemic caused a sharp economic downturn in the MEFMI region, characterized by contracting GDP growth, widening fiscal deficits, and deteriorating external positions. To mitigate these effects, member states implemented a range of fiscal measures, such as VAT exemptions and social protection transfers, and monetary interventions, including cutting policy rates and reducing statutory reserve requirements. However, these responses, combined with lower revenues and higher borrowing costs, accelerated public debt accumulation and eroded debt-carrying capacity across the region. The document emphasizes the need for sustainable debt management, fiscal buffers, and economic diversification to build resilience against future shocks.

The report analyzes how MEFMI countries utilized external financing, including emergency facilities from the IMF and World Bank, to cope with the COVID-19 pandemic. It details the shift in creditor composition toward bilateral and private lenders, the deterioration of debt risk ratings, and the specific policy responses adopted by member states. The document concludes with ten key lessons for public debt management during crises, emphasizing the importance of official external finance, operational risk management, and transparency.

The report examines how the COVID-19 pandemic affected local currency bond markets (LCBMs) across MEFMI member countries. It finds that while the crisis increased government borrowing needs and operational risks, most countries maintained stability through fiscal, monetary, and financial policy interventions. Key findings include a general increase in the average time to maturity of domestic debt, a shift in investor behavior toward safe assets, and the use of liability management operations like rollovers and switches. The document concludes that deepening LCBMs, strengthening debt management strategies, and improving market transparency are essential for resilience against future crises.

The report analyzes social protection as a tool for climate resilience, highlighting its ability to provide shock-responsive support, facilitate sustainable natural resource management, and cushion the impacts of low-carbon transitions. It identifies a gap in long-term structural adaptation and notes that while multilateral climate funds are increasingly engaging with social protection, integration remains fragmented and often prioritizes project-based interventions over systemic strengthening.

The GCF approved USD 3.7 billion for 76 projects across 79 developing countries, targeting a reduction of 1.3 billion metric tonnes of CO2 equivalent. Key operational developments include the launch of the Simplified Approval Process (SAP) Pilot Scheme, the adoption of an Indigenous Peoples Policy, and the establishment of an Environmental and Social Policy. The fund is also preparing for its first formal replenishment process and expanding its private sector engagement through dedicated pilot programmes for MSMEs and resource mobilization at scale.

The Accreditation Panel recommends that the International Fund for Agricultural Development (IFAD) be upgraded to 'large' project size and 'high risk' (Category A/I-1) environmental and social risk categories. The assessment found that IFAD's fiduciary standards, project management capacities, and environmental and social safeguards fully meet GCF requirements for these expanded parameters.

The document compiles research on the impacts of Universal Basic Income Grants (UBIG) and cash transfers, focusing on their ability to reduce poverty, improve health, and empower women in South Africa and other low-to-middle-income countries. It challenges myths regarding welfare dependency, arguing that such grants often facilitate job searches and productive investments rather than discouraging work. The bibliography also examines the macroeconomic feasibility of UBIG through progressive taxation and the social benefits of universality over targeted assistance.