Shaping the future, creating scope for development

Substantial volumes of funding are needed to combat climate change around the world, and private finance is crucial to supplying them. Financial institutions have a central role to play as intermediaries. However, there are obstacles to large-scale private investment in areas where much of the funding is required. The Swiss Bankers Association (SBA) has published a discussion paper examining this issue and addressing the need to mobilise private capital. It highlights the potential contribution of financing mechanisms that create an investment cycle by combining private and, most often, public funding.