This would provide an investment road map to be shared with a wide range of actors, including public and private sectors (donors, DFIs, multilateral development banks, investors, local financial institutions, national and local governments, etc.) to understand and explore ways to support national adaptation priorities.Ĭhallenge 2: Investors regularly struggle to find a deep and broad pipeline of bankable projects supporting climate change adaptation.ĪCP countries tend to have smaller economies where transaction costs can be high. These priorities should be assessed in terms of their commerical viability, barriers to attracting finance, and how they could be overcome. A first step is to break down current adaption plans into concrete investment opportunities, identifying priority investment areas in key sectors.

There is a need for countries to adopt a more strategic approach to engage the private sector, aligning with national adaptation priorities. What is clear, is that we need to use the limited public and other concessional financial resources to catalyze private sector engagement.Ĭhallenge 1: National adaptation plans and policies are not being translated into clear investment opportunities which can attract investors. This blog highlights three of the most critical challenges that countries face when trying to catalyse private investment for climate change adaption, and puts forward solutions how the international community can respond to these challenges in 2021.

Jay koh lightsmith