The relationship between development finance and climate finance is a key political issue. Some (particularly least developed country (LDC) climate negotiators) stress the differences. Others (most bilateral development agencies) stress the similarities. But understanding this relationship has now become urgent.
This document contains the terms and conditions for participation in the Climate Change Finance Innovation Award Contest.
This paper examines international, national and municipal mechanisms for financing adaptation, and reveals the systemic barriers that prevent money being channelled into the hands of low-income and highly vulnerable urban residents in low- andmiddle-income countries, and hinder effective urban adaptation. At the same time, a number of highly organised, pro-poor, locally managed funds are being pioneered across a number of cities in low- and middle-income countries.
Developing countries could receive international climate financing through diverse resource streams (private investment, traditional development aid, dedicated national funds, carbon markets, etc.), but it is fragmented both in terms of its source as well as its destination (various line ministries, general budget support, national implementing agencies, private sector, etc.). Additionally, application processes vary both in length and requirements.
The Clean Technology Fund (CTF) is the presently the largest multilateral mitigation fund, with a capitalisation of US$5.2 billion in grants and concessional loans. Its objective has been to harness the private sector in pursuit of “transformational change” in developing countries towards low carbon development strategies. The CTF experience reinforces the importance of grounding programs in country context with due attention to issues of institutional capacity and preparedness.
The Global Landscape of Climate Finance 2013 finds that global climate finance flows have plateaued at USD 359 billion, or around USD 1 billion per day – far below even the most conservative estimates of investment needs. On one hand, there is some cause for optimism: Although private investment has declined in general terms, technology costs for large-scale renewable energy have fallen further, perhaps as economies of scale start to take hold.
The Climate Change Open Data Platform serves as a one stop shop for data and content on climate change-, energy-, and environment-related topics.
This capacity assessment scorecard will be one key resource to identify Institutional Capacities for Climate Change, which will allow a prioritized Capacity Development Plan to be prepared.