Browsing: greening Africa

• Transition finance is funding dedicated to decarbonizing hard-to-abate and emissions-intensive sectors, such as steel and cement manufacturing.
• Companies in these sectors must prepare for an orderly transition, as failure to act will bring immense risk in a decarbonizing world economy.
• Nurturing a thriving transition finance market is critical to mitigating systemic economic and financial risks.

The transition finance market provides a unique opportunity for Africa to leapfrog to low-carbon technologies and business models, which will address climate risks and enhance the continent’s global competitiveness.

Though lacking a universal definition, transition finance refers to funding dedicated to decarbonizing hard-to-abate and emissions-intensive sectors, such as steel and cement manufacturing.

It is key to overcoming financial barriers to sustainability in the industries essential for economic development yet major contributors to greenhouse gas emissions. Companies in these sectors must prepare for an orderly transition, as failure to act will bring immense risk in a …