An Overview on Climate Change, Environment, and Innovative Finance in Emerging and Developing Economies

This paper takes an overview of some innovative finance schemes applicable to emerging markets and developing economies, including blended finance to mobilize more private capital to climate and environmental projects and debt-for-climate swaps (or debt-for-nature swaps), to provide de facto grants to small high-debt economies in exchange for climate projects (or nature protection). The paper also provides some suggestions for further actions through better coordination among donor and recipient nations led by G7 and G20 nations.