Governments around the world are increasingly turning to novel financing solutions to help cost effectively close the gap between the investment needed for a sustainable, low-emissions future and the capital currently flowing into transition projects. These approaches are used to mobilise public and private resources and direct them toward priority sectors.
Novel financing solutions provide new ways of structuring, sharing, and reducing risk so that essential projects—especially those in early, unproven, or smaller markets—can attract investment and access capital that would not otherwise be available.