Scale up climate finance through the financial sector – “30 by 30 Zero”
As of: January 2022
The implementation of NDCs in emerging markets requires vast funding amounts, for which the financial sector plays a critical role. However, numerous aspects, such as limited under-standing of climate financing opportunities and a lack of consistent policies, have so far pre-vented sufficient mobilisation of funds. To increase climate lending, the project supports the creation of domestic markets for climate financing in the partner countries. It follows a holistic approach, working at the political, market and financial institutions levels. This includes the alignment of financial sector strategies to support NDC implementation. In addition, by 2030, the share of climate lending in the participating banks' total credit portfolio shall be increased to 30 %, while climate and carbon-related risks are reduced. Finally, the project fosters climate investments through the development of domestic green bond markets.