Financing climate adaptation and nature-based infrastructure

This report assesses opportunities to increase private sector participation and financing for climate adaptation and nature-based infrastructure in Emerging and Developing Economies (EMDEs). Climate change is intensifying hydrological variability, coastal storms, and heatwaves, and these effects are anticipated to intensify as global temperatures continue to rise in the coming decades. The impacts of climate change will be felt hardest in EMDEs, which are structurally the most vulnerable to climate change. These climate trends are also combining with economic and population growth to drive unprecedented impacts on nature, including biodiversity, ecosystems, and the services they provide.

The study identified a number of promising case-study examples where private sector participation and financing of climate adaptation and nature-based infrastructure had occurred or was expected to occur. These solutions addressed a range of climate adaptation goals, including flood risk management, coastal resilience, water security, and urban heat management. At the same time, they yielded a series of ecological benefits, such as watershed restoration and improved biodiversity.