A legal framework to mobilise private capital at scale and be deployed at speed for the delivery of the projects necessary to realise the Nationally Determined Contributions of African nations Africa needs to mobilise $3trn for its Nationally Determined Contribution (NDC) projects by 2030. The world only mobilised $2.8trn for renewable energy investments in the last twenty years; Africa received 2% of that global sum.
Therefore, Africa has to mobilise more climate finance and investment in the next eight years, than the world mobilised in the last twenty years.
At COP26, Africa’s (and, generally, emerging markets’) current legal and regulatory frameworks were stated as a key investment barrier by global and domestic institutional investors representing over $150trn. The International Energy Agency (IEA) also highlighted that fostering the financial conditions for a rapid deployment of clean energy in Africa, is one of the defining challenges of our times and that the creation of new legal and regulatory frameworks will help tackle many cross-cutting issues to enable the mobilisation and deployment of private capital at scale and at speed.
