Africa requires massive amounts of climate financing in order to make its economies both low carbon as well as climate resilient. Sub-Saharan Africa will require an estimated $377 billion in financing for climate mitigation investments and $222 billion for climate resilience investments in order to reach its NDCs, while North Africa will require an additional $125 billion in combined mitigation and adaptation financing. But current financing falls far short of this figure. In 2014, only $12 billion climate finance reached Sub-Saharan Africa, with another $9 billion across MENA.
The vulnerabilities many African countries face cut across sectors demanding a holistic, programmatic approach to building a more climate resilient economy. The Climate Investment Funds is addressing this challenge head-on by providing more than $2.7 billion – a third of our total $8.3 billion pledged – in grants and low-cost loans for climate resilience, forestry, and clean energy investments to 26 countries on the African continent.
Just days after his State of the Africa Region event at the World Bank Group/International Monetary Fund Spring Meetings, I had the opportunity to discuss climate finance in a Facebook Live Q&A with Albert Zeufack, Chief Economist, Africa.
The CIF is the only climate fund to date to prioritize a programmatic approach as its primary delivery model. Our approach embeds investments in a country-driven strategic planning process that links investments with policy and regulatory reform, capacity development, and the activities of the MDBs and other partners to catalyze transformation. The CIF has, and can continue to play, a crucial role in closing the financing gap for resilience, forestry, and clean energy investment in Africa.
I was especially happy to join this conversation because it is a valuable opportunity to reach and engage a broader, younger African audience on what the continent is doing about climate and the role of climate finance in helping countries build low carbon economies, where citizens are connected to affordable, sustainable energy sources.
Did You Know?
- As much as $90 trillion is needed in the next 15 years to build low carbon, resilient, environmentally and socially sustainable infrastructure that is essential to fulfilling the Paris Agreement, strengthening resilience, and achieving the SDGs.
- The Africa Climate Business Plan lays out a solid framework to bring country plans and financing together to address climate crisis in the near and medium term.
- To date, 144 of 197 Parties have ratified the Paris Agreement. You can see if your country is one of them here.