As the climate crisis intensifies and public budgets tighten, the world’s ability to finance a just, low-carbon transition increasingly hinges on the mobilisation of private capital. Yet current climate finance instruments are not delivering at the scale or equity required. To close the $2.4 trillion annual financing gap for climate-related needs in emerging and developing economies, we must re-examine the financial instruments at the heart of the global climate finance architecture.

Reuben Wambui, founder of TCN’s partner, Kenya Climate Directory, expands more on how Africa can increase project-based guarantees, which stand as the most underused yet highly efficient instruments in climate finance.