How is the global community mobilizing to support climate needs in Africa?

Side event at the Annual Meetings of the African Development Bank

The Policy Center for the New South (PCNS), Center for Global Development (CGD), the African Center for Economic Transformation (ACET), the Partnership for Economic Policy (PEP) and REPOA are co-organizing a side event in the framework of the Annual Meetings of the African Development Bank.

Africa is among the most exposed regions to climate risk, where the financing need for climate adaptation and mitigation will reach $2.8 trillion by 2030. With tighter global conditions and reduced fiscal space, African governments are lacking the financial gunpowder to meet ambitious green development plans. Currently, multiple green global and regional funds exist. However, they are limited by their size and their ability to attract resources from rich donor countries. In face of this situation, the role of the global community (MDB system, donor countries, development institutions etc.) is key to foster the conditions for more effective climate finance directed toward the African economies. In particular, governments will require mechanisms to crowd-in more private funding in the green transition. Given the fiscal constraints, public investment needs to be directed towards fostering favorable conditions to shift private investment flows. Additionally, the MDB system has to mobilize more concessional resources towards the improvement of investment policy framework and the elimination of impediments to private funding.

This session will focus on the role of the global financial architecture, with at its heart the MDB system, in attracting more resources for climate finance in Africa.

· What tools can MDBs mobilize to finance the transition in Africa?

· What mechanisms can be put in place to mobilize private climate finance in Africa?

· How can the donor countries foster political support to channel more funds towards Africa?

Location : Nairobi, Kenya