Africa investor (Ai) held the first NDC Investment Awards at COP27 in Sharm El Sheikh, Egypt, honoring achievements in driving NDC ambition and investment readiness across ten NDC sectors. Four NDC Partnership projects received awards at the event in recognition of their contribution to their countries’ NDC targets, one in Rwanda, Uganda, Eswatini, and Sao Tome and Principe respectively. 

In the aftermath of COP27, where global leaders have gathered for over two weeks in Sharm El Sheikh, Egypt, those of us who regularly engage directly with developing countries know that the path forward is clear. Developing countries are committed to climate-compatible development and ready to implement. However, driving climate action on the ground requires unprecedented finance.  

Over two weeks in Sharm El Sheikh, Egypt, countries convened at COP27 with the goal of raising our collective ambition and charting a path towards climate-compatible development. On the ground, the NDC Partnership Support Unit met with more than 100 country members, providing an opportunity to hear directly about the incredible climate action members are advancing around the world. Out of these conversations, one thing is clear: members are driving forward progress.

The mobilization of private capital is critical to funding the large-scale transformational changes needed for countries to achieve their NDC mitigation and adaptation targets. Yet while there are announcements that trillions of dollars in funding is available for climate investments, developing countries continue to face challenges in effectively mobilizing private capital. Public sources of finance can be an important tool to help unlock the potential of the private sector. However, these funds have yet to reach the USD 100 billion annual target countries set over a decade ago and face increased constraints. 

By Dr. Deepa Pullanikkatil, NDC Partnership In-country Facilitator, Ministry of Tourism and Environmental Affairs, Contracted through UNDP 

The ability to identify, prepare, and implement transformative large-scale mitigation and adaptation projects and mobilize unprecedented amounts of capital will be central to achieving the Paris Agreement. Not only is the investment gap large, but finance needs to flow faster. Approximately USD 125 trillion is needed globally by 2050 to reach net-zero, representing annual investments of approximately 4% of the world’s GDP. In order to meet this target, investment from now to 2025 needs to triple compared to the last five years.   

Accessing climate finance is an important pre-requisite to achieving the ambitious climate targets outlined in countries' Nationally Determined Contributions (NDCs). Often, accessing climate finance involves a complex and iterative process comprised of different stages from needs identification and prioritization to investment mobilization and planning. Building on existing strategies and the increased ambition of their updated NDC, the Government of Belize embarked on a process to translate national climate and development priorities into sound planning frameworks, institutional arrangements, and concrete project opportunities to mobilize climate finance from diverse sources.  

In 2020, Rwanda was the first African country to submit an updated NDC to the UNFCCC. The NDC was built on strong country ownership and broad national engagement in climate action, laying the groundwork to fast-track its implementation. Similarly, the Government of Rwanda’s investment planning process was underpinned by strong national ownership and collaboration. This is reflected in the fact that the plan is not a standalone document, but it is embedded within the NDC implementation framework.