The report celebrates the 10th anniversary of the Global Innovation Lab for Climate Finance, reflecting on lessons learned, challenges faced, and successes in mobilizing over USD 4 billion through innovative financial instruments and blended finance approaches. It highlights the Lab’s role in pioneering climate finance models and navigating complex emerging market investments, with case studies from its portfolio.
The report also outlines five strategies to attract private sector investment, including:
- Establishing common templates for agreements and procedures to streamline project initiation and due diligence, reducing administrative burdens.
- Bundling small projects into a single investment package to achieve economies of scale, making them more appealing to large investors.
- Credit enhancement tools to make climate projects more competitive by mitigating risks like currency fluctuations, political instability, and project performance.