How Belize is Unlocking Private Investment in Climate Action

Facing severe climate risks, Belize is creating new pathways for private sector climate investment in climate action. The country recognizes that businesses play a crucial role in driving resilient, low-carbon growth and is working to align business investments with national climate priorities. This requires creating the right conditions for climate-related investments. 

Belize began its efforts with a critical step: engage national stakeholders to assess the current financing landscape, identify priority investments and map barriers to private sector investment in climate action. 

The National Climate Change Office (NCCO), under the Ministry of Sustainable Development, Climate Change and Solid Waste Management worked with the Ministry of Finance, Investment, Economic Transformation, Civil Aviation and E-Governance, to lead discussions with key stakeholders — including the Belize Chamber of Commerce and Industry and BELTRAIDE, a national economic development agency. 

This initial outreach marked the start of broader, country-led efforts to mobilize private sector investment, supported by the UNEP Copenhagen Climate Centre with backing from the Partnership Action Fund (PAF). Insights from these early consultations directly informed the design of subsequent trainings to support national capacity building efforts. 

A series of trainings — ranging from climate finance fundamentals to hands-on investment proposal workshops — are building the skills public and private sector actors need to structure bankable projects and unlock international climate finance. 

In 2024, the NCCO and UNEP CCC delivered a targeted workshop for business and government leaders to learn finance tools and guidelines, barrier analysis, logical frameworks, financial structuring and impact evaluation. In a fictional, hands-on “shark tank” simulation, participants refined investment concepts and structured financial plans in a mock funding scenario, enabling them to practice refining their ideas in line with realistic funding requirements.  

As a result of the training, participants are better prepared to formulate investment concepts and develop project proposals that attract investment. By developing these skills in-country, Belize is bridging the gap between national climate objectives and financial viability, ensuring both government and businesses play an active role in driving real progress on climate and sustainable development. The trainings have also set the stage for follow-up meetings with private sector actors to fine-tune investment priorities and explore financing models. The NCCO is using these discussions to prioritize climate actions aligned with development priorities and market requirements. 

Belize defined the scope and direction of this project based on its 2021 Nationally Determined Contribution (NDC), the National Climate Resilient Investment Plan and the NDC Financing Options Report. Together, these documents have enabled Belize to map potential investment pathways and lay the groundwork for targeted interventions to unlock private sector financing.  

The next phase of this effort involves conducting financial cost-benefit analyses for prioritized climate actions. Using the Greenhouse Gas Abatement Cost Model (GACMO), an emissions projections tool, experts are assessing their economic viability and environmental impact. This analysis will inform investment concept notes that match national climate priorities with suitable financial instruments, ranging from concessional loans to blended finance mechanisms.  

Ultimately, the insights and outputs from this project will inform a private sector investment strategy outlining priority opportunities, financial instruments and policy recommendations to support Belize’s climate transition. The strategy aims to engage the private sector as both as project developers and investors by improving the overall investment landscape for climate action. The government is also creating complementary public awareness campaigns to further promote the business case for climate action. 

With strong national ownership and collaboration between government, businesses and financial institutions, this initiative is laying the groundwork for greater private sector engagement in long-term NDC implementation and sustainable development in Belize.   

Belize, with support from Climate Analytics, through the NDC-TEC and AMBITION projects, and the German government’s International Climate Initiative (IKI), coordinated by the German Development Cooperation (GIZ), is preparing its next NDC, or “NDC 3.0” for submission to the United Nations Framework Convention on Climate Change (UNFCCC) secretariat. 

Engaging the whole of government and society, through support from the NDC Partnership Global Call for NDC 3.0 & LT-LEDS, the NDC 3.0 reflects national priorities across mitigation and adaptation sectors and will be accompanied by an updated implementation plan outlining estimated cost and key milestones.