Financing inclusive and equitable low-carbon development in East Africa

East Africa faces a significant climate finance gap, with current flows meeting only 25% of needs and a heavy reliance on international public sources. Private sector involvement is limited and domestic fiscal tools remain underdeveloped. Despite rising global investments, Africa receives just 12% of climate finance, leaving vulnerable groups underserved. Mitigation efforts are fragmented, insufficient and poorly adapted to local realities. Achieving Nationally Determined Contributions targets under the Paris Agreement requires integrated approaches across policy, finance, capacity, technology and implementation.

This project, focused on Uganda and Kenya, aims to design and test inclusive, low-carbon financing models. It is anchored on three objectives: strengthening fiscal and policy frameworks; mobilizing public and private finance; and enhancing local financial access and delivery. It will address systemic barriers to unlock scalable and equitable climate finance for just transitions. Research will generate evidence at three levels: mapping finance flows, analyzing public-private dynamics, and co-designing scalable, last-mile solutions. Methods include participatory design, behavioural experiments, modeling and capacity building. The project will engage stakeholders across sectors to develop scalable, gender-transformative climate finance models.