MUFG, partners launch $1.5 bln climate finance platform – EQ Mag
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GAIA to help scale up finance to developing countries
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FinDev Canada among public, private, philanthropic backers
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Expects to impact nearly 20 mln people across 25 countries
GAIA – a proposed $1.5 billion climate and blended finance platform projected to reach nearly 20 million direct and indirect beneficiaries across 25 developing and emerging countries – prepares to launch with an update at the Paris Summit for a New Global Financing Pact.
The platform aims to address risks associated with climate change through mitigation and adaptation investments and is committed to overcoming barriers that hinder private investment in climate projects in emerging markets. The platform is supported by multiple public and private sector organisations, including these three prominent global philanthropic institutions: FinDev Canada, MUFG, and a consortium of UN partners and platform-based initiatives.
GAIA will blend commercial capital with a concessional and patient source of capital, creating a model that can be scaled and replicated across markets. The result is the mobilization of private sector finance at-scale to support the transition of emerging markets to low-carbon and climate-resilient growth pathways.
GAIA’s objective aligns with the Paris Summit for a New Global Financing Pact’s goal of establishing a new contract between the nations of the North and the South to combat climate change and responds to Barbados Prime Minister, Hon. Mia Mottley’s call for increased climate finance.
GAIA’s new approach will work by fostering the convergence of public and private sector entities, and creating a pathway that bridges the climate finance gap. The platform will also ensure that country ownership is prioritized and aligned with national climate objectives and local circumstances.
Source: Reuters
