The Nationally Determined Contributions (NDCs) outline the path for developing low-carbon and climate resilience in different countries. It is estimated that around 4 trillion US dollars will be required to finance NDC commitments in Africa by 2030, with approximately 75% of this investment expected to come from the private sector, which predominantly consists of SMEs. To gather the necessary resources to support the successful implementation of NDCs on the continent, the role of various financial institutions has never been more crucial than it is today.
Unfortunately, many of Africa’s banks and key sectors are not fully aware of the NDCs, with the attendant low level of their contents and the inherent opportunities and risks. Also, the appetite to assess climate risks and thus strategies and risk-opportunity-reward metrics for low-carbon and climate-resilient investments are somewhat lacking. It is instructive to know that several financial institutions have not been able to design attractive financial instruments that support climate mitigation and adaptation measures. Today, there is an additional dimension for the financial industry to toe the path of low-carbon portfolios or decarbonisation.
To this end, this Training is designed to strengthen the capacity of the key players to mobilise climate finance and scale up climate-smart investments for low-carbon development and resilience building in Africa.