Transforming investment landscapes
Climate finance is navigated by various structural and market forces, reshaping how capital is allocated. A major trend is the push for sustainable urban development, as more than half of the global populace resides in cities. This shift emphasises greener, more resilient urban infrastructure, with private investments in urban sustainability increasing substantially.
The clean energy transition is another significant force, propelled by decreased costs in renewables, energy storage, and smart grids. This evolution lowers entry barriers, leading to an increased allocation of private capital into energy infrastructure projects that facilitate a transition to net zero.
Parallel, the transport sector witnesses a transformation with the rise of electric vehicles (EVs) and low-carbon mobility solutions. Investment in EV infrastructure is scaling up alongside adoption rates, presenting new avenues to decarbonise a high-emission industry.