Mobilizing Private Sector Investment in Adaptation to Climate Change
This research aims to address how to expand the spectrum of options available for private sector financing of climate adaptation. It will also explore ways to leverage private finance to scale up adaptation efforts in developing countries. Climate change and the private sector Private sector investment in climate change adaptation has grown steadily in recent years, as companies have had to adapt to the physical risks of climate-related impacts. However, a large number of companies address these issues from only an infrastructure standpoint without considering the full spectrum of adaptation interventions that could achieve social and economic benefits. These benefits are essential to building more resilient societies. There is a growing interest in investing to protect supply chains, developing climate-friendly technologies, and opening access to innovations, products, and services that are vital to resilience. These activities include diversifying livelihoods, creating climate-resilient technologies and services, and providing enhanced access to insurance. Encouraging investments in adaptation This research will create an evidence base and networks to overcome the barriers that prevent two types of investments: protecting businesses from climate change and providing goods and services that help others to adapt. Specific objectives include: -build the business case for action on climate resilience -provide guidance to policymakers and companies on how to invest in climate interventions and projects that enhance adaptation -collect practical options that enable businesses to adapt to climate change, or to provide services and products that help others to adapt - organize outreach events to define and share best practices The project's expected outputs are: -research reports on the risks, barriers, and opportunities associated with greater private investment in adaptation -a research agenda on private sector engagement in adaptation -guidance for international funding agencies on practical options to improve financial flows into adaptation The project is also expected to create a network of companies and investors who are interested in finding opportunities to create positive social and environmental outcomes.