Key takeaways from this event included:
- Much is expected from institutions that deploy public funds, beyond their transactions, as their work influences the behaviour of private actors in capital markets
- Having sub-regional development banks function as regional adaptation hubs could help aggregate adaptation financing needs & channel international financing
- Public development banks need to support local financial systems by moving from a project approach to a counterparty-based approach, all the way to a system approach
- Banks need common definitions and a simple system to understand what counts as climate finance
- Counterparties need capacity and technical support but also time to transition, rather than a tick-the-box approach for transition and adaptation finance
- Some IDFC members are developing tailor-made technical assistance to institutions’ needs, along with financial incentives that could help support investments in sustainability-linked finance