• Green Finance

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Green Finance

How to finance a green transformation? 

In order to combat climate change we have to change our unsustainable ways of living and restructure our economies in a way that respects the planetary boundaries. A green transformation is needed and requires significant financing (green finance).

Researchers at the German Development Institute / Deutsches Institut für Entwicklungspolitik (DIE) study green finance from different angles: 

  • International climate finance: Research focuses on the effective spending of climate finance, e.g. with regard to vulnerable populations, and the involvement of the private sector in adaptation financing.
  • Policy frameworks for financing of renewable energy: Policy measures can facilitate the deployment of renewable energy and energy efficiency technologies. We research existing and innovative measures which are both green and inclusive. 
  • Financial markets as sources for green finance: Research focuses on overcoming constraints for green investments in developing countries and emerging economies, e.g. on financial instruments to mobilise additional capital or on local financial markets as sources for the provision of green finance.
  • Payment for ecosystem services and natural resources: DIE studies green and inclusive finance that targets the world’s poorest, in particular in water management and agriculture.