Environment and development

Green Finance and Investment in Developing Countries

 

To meet the ambitious goals of the 2030 Agenda and the Paris Agreement, we need to significantly shift and scale up green finance and investment. Large-scale private sector engagement and investment in developing countries will be needed to drive their transition to low-carbon and climate-resilient economies. Development finance can play a critical role, catalysing, leveraging and guiding this investment. But to ensure that approaches are effective and that they deliver results, decisions need to be informed by a clear understanding of what works – and what doesn’t.

The OECD Development Assistance Committee (DAC) promotes effective approaches to climate change, environment and development. It convenes diverse development actors to share good practice encourage collaboration, fuel dialogue and advise on norms and standards. Finally, it pilots new approaches and monitors progress to promote mutual learning and underpin meaningful results.


WHAT'S NEW

OECD at #COP24

Financing Climate Futures: The role of National Development Banks in Brazil and South Africa

Policy perspectives on 'Blended finance: Mobilising resources for sustainable development and climate action in developing countries

See the webcast from the 2017 Forum of the OECD Centre on Green Finance and Investment

OECD's Centre on Green Finance and Investment

 


EVENTS

 

   

13 November 2017

Bonn

Blended finance for climate action: How to mobilise commercial finance at scale (COP23 side event)

11 November 2017

Frankfurt

Roundtable discussion on ‘Development banks and DFIs: scaling up green investment in developing countries' (Coming soon)

26 June 2017

Mexico City

Workshop on 'National Development Banks and Green Banks - key institutions for mobilising finance'

22 February 2017

Paris

Rountable on “The role of national development banks, multilateral development banks and bilateral development finance institutions in scaling up investment in low-carbon and climate-resilient infrastructure” (invitation only)

9 November 2016

Marrakesh

Enabling policies for green investment and development

5 November 2016

Casablanca

Roundtable Scaling up climate investment through NDBs, MDBs, and DFIs (invitation only)

20 October 2016

 

Paris

Infrastructure Financing for Sustainable Development: Challenges and opportunities in applying blended finance approaches

14-15 October 2016

Tokyo

3rd Green Investment Financing Forum

1 March 2016

Paris

Workshop on Development Co-operation and Private Sector Engagement for Green Growth

3 November 2015

Paris

Joint AFD-IDB-OECD Workshop on Local Financial Institutions (LFIs) and green finance

 

 WORKSTREAMS

Development banks and development finance institutions

Development banks and development finance institutions (DFIs) - publicly owned financial institutions with a specific development mandate - are critical for mobilising green finance and investment. OECD collates evidence on the role of these important actors, and provides policy advice for governments on how their role can be strengthened

Development co-operation and private sector engagement

Key international agreements in 2015 have all recognised the essential role of the private sector in ensuring sustainable social, economic and environmental outcomes. The OECD provides policy guidance on how development co-operation providers can more effectively engage the private sector for development, drawing on peer learning reviews.

Blended finance for sustainable development and climate action

In the context of Sustainable Development Goals (SDGs), blended finance has a critical role in strategically using development finance and philanthropic fund to mobilise additional capital flows from private and public sources into emerging and frontier markets in order to foster sustainable development. The OECD's work on blending includes supporting the Sustainable Development Investment Partnership (SDIP).

Tracking private climate and green finance 

The OECD-DAC is measuring and monitoring non-ODA financial flows, including instruments that engage the private sector, and their mobilisation effect. The OECD-hosted Research Collaborative on Tracking Private Climate Finance brings together partners to test methods and approaches to track private climate finance.  Combined with OECD-DAC work to improve the quality, coverage and use of climate-related development finance to provide a more comprehensive picture of public and private flows.

Blended finance for sustainable development and climate action

In the context of Sustainable Development Goals (SDGs), blended finance has a critical role in strategically using development finance and philanthropic fund to mobilise additional capital flows from private and public sources into emerging and frontier markets in order to foster sustainable development. The OECD's work on blending includes supporting the Sustainable Development Investment Partnership (SDIP).

 


PUBLICATIONS AND WORKING PAPERS  

Policy perspectives on 'Blended finance: Mobilising resources for sustainable development and climate action in developing countries

Mobilising financing for the transition, in OECD report Investing in Climate, Investing in Growth

Engaging the Private Sector for Green Growth and Climate Action: An Overview of Development Co-Operation Efforts, OECD Development Co-operation Working Papers, No. 34

Development co-operation policy brief: Private Sector Engagement to Address Climate Change and Promote Green Growth
Private sector engagement for sustainable development: lessons learned from the DAC
Official development finance for infrastructure: Support by multilateral and bilateral development partners, OECD Development Cooperation Working Papers, No. 25

 

 

 

 

 

 

 

 

  


ARTICLES AND BLOGS

Bridging the green investment gap in Latin America: what role for national development finance institutions?, OECD Development Matters, November 2017

Op-ed Getting Climate Infrastructure Right - a stronger role for development banks, Devex, June 2017

Build more, build right: development finance, infrastructure and climate change, OECD Observer No. 304, November 2015


FURTHER READING

OECD Centre on Green Finance and Investment
DCED Green Growth Working Group
The OECD Social Impact Investment Initiative

 

 

 

 

 

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