Experts Meet in Kenya to Discuss Africa’s Transition to Low-Carbon Economic Growth

On Wednesday, a two-day meeting in Nairobi began to discuss ways to unlock the climate finance needed to accelerate Africa’s inclusive transition to low-carbon economic growth.

The Africa Climate Business Forum brought together over 100 participants from across the continent, including government and business leaders, as well as multilateral financial institutions, to discuss ways to close Africa’s climate finance gap.

In her opening remarks, Mary Porter Peschka, Regional Director for Eastern Africa at the International Finance Corporation (IFC), the private sector arm of the World Bank Group, stated that Africa requires 190 billion US dollars per year between now and 2030 to fund climate change mitigation measures, and another 50 billion US dollars per year by 2050 to fund adaptation measures.

“We need to inspire different stakeholders, both local and international because no institution alone can provide the climate finance Africa needs,” Peschka said.

She stated that the IFC is assisting Africa in expanding its pool of climate finance by investing in green bonds, the proceeds of which will fund viable green projects.

Jamie Fergusson, the IFC’s Global Director for climate business stated, that Africa has vast renewable energy resources such as geothermal, wind, and solar, which can attract climate finance.

According to Fergusson, the continent also requires policy and regulatory reforms that will encourage the private sector to invest in environmentally sustainable projects.

Ignatius Wilson, the Bank of Ghana’s head of Environmental, Social, and Governance/Sustainability, added that his country is currently developing guidelines that will provide incentives for the private sector to invest in projects that will reduce Ghana’s greenhouse gas emissions.

According to Maurice Madiba, the Johannesburg Stock Exchange’s head of primary markets, Africa will be an appealing destination for international investors looking for green projects if their capital markets issue joint environmentally friendly debt instruments.