Climate: The Financial Challenge

P. Ducret & M. Scolan | AFD

This book is the first volume that describes and deciphers the extraordinary changes that have affected green finance over the last two years following COP21. For a long time, many financial players considered that climate finance was a business for specialised teams, and some of them still do. This book is for them: it endeavours to show how finance professionals can rethink their professions and integrate the climate challenge. It is also for those who look at finance with a wary eye, especially because of its clearly established responsibility in the 2008 crisis. [The authors] are convinced that the financial sector can help build a sustainable future and holds many of the keys to a successful transition toward a low-carbon economy. First of all, this work sets out the global financial equation to be solved: to finance the transition, it is less a matter of mobilising new capital than of redirecting existing and available capital. Then it explains why, despite the public policies that are being set up more or less everywhere, this reorientation has not reached the pace needed to achieve the 2°C target by the end of the century. The third chapter describes how the financial sphere gradually became aware of climate change issues, and describes the tools developed by its various professions to address those issues. The resulting panorama shows that climate finance tools already exist. The fourth part tells the story of the two years lead-ing up to the Paris Conference on Climate, COP21, by showing how various financial players progressively developed their thinking and their positions. But now, after Paris, everything still remains to be done and the book closes with a description of what is at stake and what levers for action are available for the future.

Long-Term Finance, Access to Finance, Legal & Regulatory Environment
Year of publication:
File size:
2382996 bytes