Leveraging Private Sector Finance for Climate Compatible Development: Lessons from CDKN
This paper aims to provide a synopsis of some of the lessons that relate to harnessing private sector involvement in climate compatible development that have emerged from CDKN projects across Africa, Asia and Latin America. By sharing these lessons with developing country governments, project developers, development finance institutions and private finance institutions, we aim to demonstrate ways of enabling the private sector and ensure that private sector perspectives are better understood and incorporated into financing climate compatible development. Accelerating the shift to climate compatible development is CDKN’s business, and improving the lives of the most climate-affected people is our mission. A multi-year, GBP 130 million programme funded by the British and Dutch governments and many others, CDKN works to support climate compatible development in Asia, Africa, Latin America and the Caribbean. Our programme provides technical assistance to governments as well as research-into-action projects that fill gaps in our understanding of climate change impacts and solutions. A further, crucial part of CDKN’s programme is knowledge management and policy engagement, an effort to which this Working Paper contributes. We assess information on the collective performance of governments, as well as non-state actors, in tackling climate change. We convene online discussions and in-person events to assess how climate actions are serving the most climate-affected people and how climate action could be more ambitious and effective. This paper is based on private sector related lessons from projects that have been funded by CDKN, across Africa, Asia and Latin America. Our purpose is to facilitate the exchange of experiences on climate compatible development, to accelerate the transition towards a low-carbon, climate-resilient global society.