This issue brief identifies the impediments preventing private investment, in particular institutional capital, into climate infrastructure in emerging markets. “Climate infrastructure” refers to infrastructure that is needed to address mitigation or adaptation needs as well as investments to make infrastructure resilient to increasingly unpredictable events caused by climate change.
This issue brief provides a framework for private institutional investors who aim to address climate challenges through their capital. By making use of targeted catalytic capital and other strategies, these investors can help make significant progress towards global decarbonization targets by accelerating the build out of climate infrastructure in emerging markets.
Structured in four segments, we delve into:
- An outline of the climate infrastructure imperative and background on the GIIN’s work to date on this topic.
- A summary of the current state of practice in climate infrastructure finance in emerging markets, highlighting existing initiatives and vehicles that are aligned with the themes and roles identified above and identification of promising strategies.
- An overview of the existing landscape of catalytic capital deployment and roles for catalytic capital providers to mobilize institutional finance more effectively in this arena.
- Specific recommendations on the most promising future uses of catalytic capital, along with other strategies for impact that are not specific to catalytic capital per se, and note emerging themes suitable for further inquiry.
Download Catalytic Capital: A key to aligning infrastructure investments with climate mitigation in emerging markets to access these insights and more.
