The African Development Bank Group – AfDB has launched Country Focus Reports (CFRs) ahead of the 28th United Nations Conference on Climate Change (COP 28) in Dubai. These reports aim to assist African policymakers in climate discussions and are themed around “mobilizing private sector finance for climate and green growth in Africa.”
The CFRs provide insights and policy recommendations on macroeconomic performance, private sector finance, and natural capital to boost Africa’s climate resilience and green growth policies. They offer practical policy options for short-, medium-, and long-term economic growth and resilience.
Climate change is a significant challenge for Africa’s development, and the reports explore ways to leverage private sector resources and natural capital to address climate finance gaps, promoting sustainable green growth.
These reports build on the African Economic Outlook 2023 and Regional Economic Outlooks, aiming to provide accurate and country-specific data to influence policy and investment decisions.
The reports emphasize various financial instruments, such as green bonds, debt for climate swaps, green banks, blended finance, carbon markets, and more, to support climate action.
Despite recent challenges like the COVID-19 pandemic, climate change impacts, and financial market volatility, African economies have shown resilience. The CFRs offer tailored insights for individual African countries.
To enhance private sector involvement in green growth, policymakers should focus on developing long-term green growth strategies, appropriate regulations, incentives, project preparation support, and robust capital markets. They should also consider blended finance, de-risking facilities, and diversified investment portfolios to manage risk.
Simha Asuquo contributes from Lagos, Nigeria
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