Climate finance is a type of financing that aims to reduce greenhouse gas emissions and increase the resilience of human and ecological systems to climate change. It can be local, national, or transnational, and can come from public, private, and alternative sources.
Climate finance refers to local, national or transnational financing—drawn from public, private and alternative sources of financing—that seeks to support mitigation and adaptation actions that will address climate change.
These solutions actively support climate-resilient projects, fostering positive impacts on both communities and the environment. By channeling resources strategically, we contribute to the creation of a more resilient and sustainable future.
Climate finance is a subset of environmental, or green, finance. Green finance is finance that supports action on a range of environmental issues, including climate change. Climate finance is sometimes confused with related concepts like green finance, sustainable finance, and low-carbon finance.
According to a 2021 analysis by UNFCCC, 78 countries identified financing needs of around $5.8 trillion until 2030, or about $600 billion per year.
International sources of long-term climate change finance include:
This is not professional financial advice. Consulting a financial advisor about your particular circumstances is best.
