• BLOG SURF
KATHMANDU, MARCH 13
Mobilizing greater climate finance was one of the four key outcomes promoted at COP26.
That is an important positive step towards greater climate action but it does not in itself guarantee improved resilience or a reduction in emissions.
Climate finance investments need a clear purpose, showing how these investments will help climate mitigation by reducing greenhouse gas emissions or how they will help climate adaptation by improving the resilience of infrastructure, communities, and livelihoods.
Opportunities exist for better targeting and design of climate finance. The emphasis of climate finance accounting is on identifying at the design stage how much of an investment will likely contribute to mitigation or adaptation. The actual climate results that are expected to be achieved should be reflected in the results frameworks of individual investments and of country programs.
However, the link between climate finance and climate results is often poorly defined. Without a clear causal pathway towards climate results, there is a risk of distorted incentives. - blog.adb.org/blogs
A version of this article appears in the print on March 14, 2022, of The Himalayan Times.
