How Can the Private Sector Scale Up Access to Sustainable and Inclusive Funds in Africa?
In light of the growing food and energy demands in Africa, the private sector is rallying to participate in the green growth agenda and align with Nationally Determined Contributions (NDCs), targeting a low carbon transition. Various studies estimate the implementation of NDCs and UN Sustainable Development Goals (SDGs) will require trillions of dollars by 2030, and many of these projections confirm the private sector will cover a significant portion of this climate investment. The post Covid-19 recovery is still underway, with impacts from the pandemic still being faced by the financial sector and economy at large. In this context, climate-smart investments bring both opportunities and challenges for job creation, inclusion, improving livelihoods, and economic growth. There are multiple climate finance funds and a growing set of climate finance instruments, but the major challenge for the African private sector continues to be access to affordable capital.
This panel, organised by BANK OF AFRICA, highlighted the priority pathways and business models in support of NDCs in Africa, from the perspective of various stakeholders in the private sector. The event aimed to generate a solution-oriented discussion around the gaps and opportunities of sustainable finance in the African context. BANK OF AFRICA Group, a pan-African universal banking group, has established itself as a regional sustainable finance pioneer over the past 15 years, developing various blended finance offers for energy efficiency, water, and waste management in partnership with DFIs, as well as a Green Bond and a Socially Responsible Fund (SRI). BANK OF AFRICA is piloting the Positive Impact Finance initiative methodology heralded by UNEP FI and is a member of the Coordination Group of the Climate Action in Financial Institutions initiative. BANK OF AFRICA’s continuous ambition is to offer innovative financing solutions to challenges faced by the private sector in Africa, especially SMEs, including climate and gender finance.
How Can the Private Sector Scale Up Access to Sustainable and Inclusive Funds in Africa?
In light of the growing food and energy demands in Africa, the private sector is rallying to participate in the green growth agenda and align with Nationally Determined Contributions (NDCs), targeting a low carbon transition. Various studies estimate the implementation of NDCs and UN Sustainable Development Goals (SDGs) will require trillions of dollars by 2030, and many of these projections confirm the private sector will cover a significant portion of this climate investment. The post Covid-19 recovery is still underway, with impacts from the pandemic still being faced by the financial sector and economy at large. In this context, climate-smart investments bring both opportunities and challenges for job creation, inclusion, improving livelihoods, and economic growth. There are multiple climate finance funds and a growing set of climate finance instruments, but the major challenge for the African private sector continues to be access to affordable capital.
This panel, organised by BANK OF AFRICA, highlighted the priority pathways and business models in support of NDCs in Africa, from the perspective of various stakeholders in the private sector. The event aimed to generate a solution-oriented discussion around the gaps and opportunities of sustainable finance in the African context. BANK OF AFRICA Group, a pan-African universal banking group, has established itself as a regional sustainable finance pioneer over the past 15 years, developing various blended finance offers for energy efficiency, water, and waste management in partnership with DFIs, as well as a Green Bond and a Socially Responsible Fund (SRI). BANK OF AFRICA is piloting the Positive Impact Finance initiative methodology heralded by UNEP FI and is a member of the Coordination Group of the Climate Action in Financial Institutions initiative. BANK OF AFRICA’s continuous ambition is to offer innovative financing solutions to challenges faced by the private sector in Africa, especially SMEs, including climate and gender finance.