Pedestrian walk in front of the venue for COP 29 Summit in Baku on November 10, 2024, on the eve of UN Climate Change Conference. The 2024 UN Climate Change Conference (UNFCCC COP 29) will convene from 11 to 22 November 2024 in Baku. (Photo by Alexander NEMENOV / AFP)
In one of the greatest steps towards COP 29’s climate finance goal, the CIF Capital Market Mechanism (CCMM) floated by the Climate Investment Fund has been listed on the London Stock Exchange (LSE).
Announcing this, Tariye Gbadesin, Chief Executive Officer of the Climate Investment fund expressed how pleased she was to have achieved the milestone.
“Yesterday I joined UK Prime Minister Keir Starmer and Ajay Banga of The World Bank at COP 29 to announce a global first for climate finance.
“The CIF Capital Market Mechanism (CCMM) has just been listed on the London Stock Exchange.
“It’s our most ambitious step forward yet. But bold and creative solutions are needed to tap private finance, especially for climate efforts in developing countries and emerging economies.
“CCMM will make us the first multilateral climate fund to unlock the power of capital markets, mobilizing funds at scale for high-impact clean energy and clean technology investments around the world. ”
The CIF Capital Market Mechanism (CCMM) is an initiative of the Climate Investment Fund targeted at raising private sector capital in international capital markets to help mobilize finance for climate action and sustainable development globally. CCMM accelerates climate funding by frontloading reflows from CIF’s Clean Technology Fund (CTF).
The CIF Capital Markets Mechanism Plc was established in July 2024 and the World Bank acts as its Treasury Manager. The World Bank is also the Trustee and host of the Secretariat for the CIF.
The CCMM aims to address the significant financing gap in climate action by mobilizing capital at scale and directing it towards high-impact projects which is channeled through six triple A-rated implementing multilateral development banks (MDBs) who collaborated on the design and structure of CCMM.
By issuing bonds on the London Stock Exchange, the CCMM aims to generate substantial funds—up to $750 million annually to support clean energy and sustainable infrastructure initiatives globally over the next decade while also potentially attracting over $50 billion in co-financing.
By tapping into capital markets, the CCMM seeks to bridge the financing gap for climate initiatives, ensuring that developing countries have access to the necessary funds to transition to low-carbon economies and build resilience against climate change.
This development is a move towards building on CIF’s track record of over 16 years, unlocking $12 billion for first-of-a-kind climate solutions across 80+ developing nations.
With the issuance of bonds by the CIF, developing economies would be able to access ready financing to support the switch from fossil and carbon energy to Green and clean energy.
Dangote Cement Plc has reported a 230.35% year-on-year surge in pre-tax profit to ₦418.06 billion… Read More
Nigeria came back from two goals down to defeat hosts Morrocco by 3 goals to… Read More
The Federal Ministry of Education has debunked claims that the Federal Government has introduced a… Read More
BUA Cement Plc has reported a 513% year-on-year increase in post-tax profit to ₦99.77 billion… Read More
The Minister of State for Industry, Trade and Investment (FMITI), Sen. John Enoh, recently inaugurated… Read More
Residents of Lagos State are to brace for a 25-day power outage as the Eko… Read More
