Stockholm: SEI Stockholm Environment Institute (Policy Brief)
There is a strong expectation that the private sector will provide a large share of the US$100 billion per year in climate finance that world leaders have pledged to mobilize by 2020 under the UN Framework Convention on Climate Change (UNFCCC). Globally in 2014, two-thirds of the US$361 billion in financial flows relevant for mitigation in 2014 came from the private sector.
Yet as little as 8% of that was invested outside the country where the finance originated – and only a small fraction reached the Least Developed Countries (LDCs). It is thus important that we ask whether it is realistic for LDCs to expect significant flows of private climate finance. This policy brief examines that question for Rwanda, focusing mainly on adaptation. It draws on a literature review and on interviews with 25 key stakeholders from ministries, agencies, international organizations, the private sector and civil society.