The world needs trillions of dollars to reduce greenhouse gas emissions, finance the clean energy transition, and cope with the impacts of climate change. In addition to increasing the scale of these investments, climate finance also needs to be equitable–investments should benefit women, Indigenous Peoples, youth, and other marginalized and underserved populations. At COP26 in 2021, USAID committed to mobilizing $150 billion in climate finance by 2030 from public and private sources as part of a global effort to substantially increase global climate finance flows to match projected needs. USAID is developing innovative solutions to achieve this goal, which is now one of the six ambitious high-level targets included in USAID's Climate Strategy. The Agency is reducing risk and aligning incentives for investors and channeling investment into sectors where it is urgently needed, including agriculture, energy, biodiversity, environmental protection, water, infrastructure, and economic growth.
Catalyzing Private Finance for Climate Action
Catalyzing private finance for climate action is essential to achieving goals for limiting global warming. USAID can play a pivotal role in climate action across partner countries by increasing funding for activities that catalyze and crowd in private capital to climate-focused investments.View Content