COP 27 Event | Global to Local: Innovative financing for scaling adaptation in Africa

Background

Over 80% of proposed actions in the revised nationally determined contributions (NDCs) submitted by African countries are pegged on funding from international sources. Climate adaptation has been given top priority in many of these NDCs due to the high vulnerability of the region to climate impacts. The current funding directed to Africa—currently estimated at about USD 50 billion per year—is insufficient to meet the region’s needs, both in quantity and quality.

The United Nations Environment Programme's (UNEP) Adaptation Gap Report 2022, however, found that annual adaptation costs for developing countries will be between USD 140 billion and USD 300 billion by 2030 and USD 280 billion and USD 500 billion by 2050, leaving a wide gap between what has been offered and what is needed. Private sector and development banks play an important role in bridging the gap through innovative financial instruments. Countries are embracing innovative financing instruments, and there is a need for a deeper understanding of these experiences.

About

This event will share insights from multilateral development banks (MDBs) and bilateral donors. It will highlight two projects funded by the International Development Research Centre:

1. The NDC finance project brings together a network of people from 21 African countries who have been part of a leadership training program and have strategic experiences from their countries on NDC financing needs, challenges, and ideas to overcome them.
2. Mobilizing financing from MDBs.

The event will involve a panel discussion on frameworks, instruments, experiences, best practices, and capacity needs for African countries to develop and implement innovative and inclusive financing strategies for scaling up adaptation actions on the ground.

To learn more, visit the MDB Pavilion event page here.