The Africa Climate Business Forum (ACBF) has concluded its proceedings, with a focus on promoting green investments and sustainable financial practices across the continent, to boost the fight against climate change.
Over the course of the one-and-a-half-day forum, participants jointly identified opportunities and solutions to make private sector businesses more environmentally friendly, promoting Africa’s transition towards a green economy.
The event, co-hosted by the International Finance Corporation (IFC), brought together various stakeholders from the public and private sectors, setting the stage for Africa’s green transition.
The event facilitated direct business linkages, fostering investments in climate adaptation and sustainable development projects across Africa, and provided a platform for promoting sustainable investments, encouraging contributions to the scaling of climate finance throughout the continent.
The ACBF’s timing was particularly opportune, following the Africa Climate Summit (ACS) held in Nairobi in September 2023.
The African Leaders Nairobi Declaration on Climate Change and Call to Action, a key outcome of the ACS, will play a crucial role in shaping Africa’s stance at the upcoming COP 28 in Dubai, United Arab Emirates.
The Declaration stressed the necessity of a global transformation towards a low-carbon economy and the requirement of substantial investments, estimated at $4-6 trillion annually.
It also calls for collective global action to mobilise capital for both development and climate action, ensuring that no country has to choose between development and climate goals.
Highlighting the urgent need for climate action, recent data revealed that September 2023 saw record-breaking average global temperatures, with a surface temperature of 0.5°C above the previous record.
United Nations Secretary-General Antonio Guterres described the situation as an “era of global boiling,” stressing the critical need for immediate action.
While scaling up climate financing is imperative, the forum highlighted that it is equally crucial for various sectors, including corporations, Micro Small and Medium Enterprises (MSMEs), and households, to actively participate in the transition to a green, low-carbon, and climate-resilient economy.
Closing the workshop, the Central Bank of Kenya Governor Kamau Thugge said Kenya has been taking proactive steps to green the country’s financial sector by issuing guidance on climate-related risk management and is currently working on a green finance taxonomy and disclosure framework to attract domestic and international investments.
Furthermore, the CBK has joined the Network of Greening Financial Systems (NGFS), which brings together over 100 central banks and financial supervisors to enhance the role of the financial system in addressing climate-related risks and mobilising capital for sustainable development.