Financing Climate Adaptation and Mitigation in Rural Areas of Developing Countries

摘要

Climate change is projected to have potentially severe impacts on developing countries. The World Bank estimates that developing countries will require tens of billions of dollars to implement adaptation measures to reduce vulnerability to climate change and respond to climate impacts. In terms of mitigating global warming, required measures are estimated at one percent of global GDP annually if immediate action is taken; costs increase considerably as action is postponed. European Union sources state that global investment in fighting climate change needs to increase to $220.4 billion by 2020. Given the enormous costs of tackling the climate challenge, attracting private sector capital is critical. The US Agency for International Development (USAID), in cooperation with the US Department of Agriculture, has commissioned this study to explore opportunities for expanding private sector financing for global climate change adaptation and mitigation projects in rural areas of developing countries. Given this scope, climate change mitigation (greenhouse gas emissions reduction) and adaptation (reducing risk posed by the physical impacts of climate change) projects considered for financing would be in the forestry or agriculture sectors; mitigation projects would also include small-scale renewable energy and energy efficiency efforts at the village level.