Financing adaptation action in Africa: Why intermediaries matter

This publication explores how financial intermediaries can help African cities and local governments overcome barriers to adaptation finance. It makes the case for investing in resilience early and shows how intermediaries can mobilise commercial capital and make every concessional dollar go further.

About ICLEI Africa’s Sustainable Finance Centre

ICLEI Africa’s Sustainable Finance Centre (SFC) works to unlock and direct finance towards sustainable urban development across Africa. Currently providing technical services to a portfolio of projects worth over $30 million, the Centre bridges the gap between cities, governments, financiers and the private sector to turn development priorities into viable investment opportunities.

The SFC supports projects from early concept through to investment readiness and implementation, while strengthening the institutional, financial and governance conditions needed for investment to succeed. This includes project development and structuring, investment readiness support, the design of innovative financial mechanisms, and connecting cities and local markets with private capital.

At the heart of this work is a deep understanding of local realities – from municipal capacity and creditworthiness to regulatory environments and national priorities. Combined with ICLEI Africa’s trusted relationships across the investment ecosystem, this enables the SFC to identify realistic pathways to investment, structure solutions that respond to local needs, and scale successful approaches across cities and countries.

Acknowledgements

This work was carried out with the aid of a grant from the Ministry of Foreign Affairs of the Netherlands and the International Development Research Centre (IDRC), Canada. The views expressed herein do not necessarily represent those of IDRC, its Board of Governors, or the Ministry of Foreign Affairs of the Netherlands.