1. Themes
  2. Private Finance
  3. Mobilizing Private Adaptation Investment

Mobilizing Private Adaptation Investment

Unlocking adaptation investment from the private sector requires greater clarity on risk and return profiles of adaptation investments as well as catalytic use of public finance to de-risk private investment.

2030 Goals

01

There are clear and tested pathways for different types of private institutions (e.g., asset managers, commercial FIs, corporations, etc.) to invest in adaptation and resilience, with developed business models and tested rates of return.

02

Private institutions have substantially increased capacity and expertise across teams, especially finance and operations, to proactively identify and pursue adaptation investment opportunities and to evaluate, price accurately, and act on physical climate risk impact across investment portfolios.

Status

No Progress

Private sector adaptation finance commitments tracked in CPI’s Global Landscape of Climate Finance 2025 totaled USD 5.74 billion, including nearly 4 billion in corporate finance and ~800 million from commercial banks (the highest volume tracked from these institutions to date). This remains a likely significant underestimate because of the data gaps for private flows and broader issues in traditional adaptation finance quantification methodologies.

A 2025 BCG survey reported that many institutional asset owners (including well-capitalized pension funds) increased their climate investment commitments in 2024 and 2025, with a notable expansion of teams and expertise focused on climate-related investment opportunities such as adaptation and resiliency markets.

Ceres “Investing in Resilience” brief describe how leading asset managers, such as IFM Investors, Breckinridge Capital Advisors, and Impax Asset Management, are proactively navigating physical climate risk and adaptation opportunities.

Leading Actors

Cooperation is required between these actors and audiences to drive progress foward in Mobilizing Private Adaptation Investment.

Private FIs

Lightsmith Climate Resilience

Private FIs

Sun Funder

Public FIs

The Global Fund for Coral Reefs

Public FIs

British International Investment

Multilateral Development Banks

Asian Development Bank (ADB)

Multilateral Development Banks

African Development Bank (AfDB)

Multilateral Development Banks

European Bank for Reconstruction and Development (EBRD)

Multilateral Development Banks

European Investment Bank (EIB)

Multilateral Development Banks

Inter-American Development Bank (IDB)

Multilateral Development Banks

World Bank

International Organizations

United Nations Development Programme

International Organizations

Green Climate Fund

International Organizations

Global Environment Facility

Supportive Stakeholders

Adaptation and Resilience Investors Collaborative (ARIC)

Supportive Stakeholders

Investment Mobilisation Collaboration Alliance (IMCA)

Private FIs

S&P Global Ratings

Public FIs

Green Climate Fund (GCF)

International Organizations

Adaptation Fund

International Organizations

Global Green Growth Institute (GGGI)

International Organizations

NAP Global Network

Leading Countries

Colombia

Leading Countries

Peru

Leading Countries

Italy

Leading Countries

Germany

Leading Countries

Kenya

Alliances

V20 (Vulnerable Group of 20)

Alliances

Food and Agriculture for Sustainable Transformation (FAST)

Supportive Stakeholders

European Climate Foundation, Natural Resources Defense Council (NRDC)

Supportive Stakeholders

Adaptation and Resilience Collaborative for Funders

Learn More

Publications and educational material to deepen understanding of Mobilizing Private Adaptation Investment.

Project GAIA

Mobilizing Private Adaptation Investment

A multi-stakeholder climate and blended climate finance platform, supported by public and private sector organizations that offer long-term loans for climate adaptation and mitigation investments in 19 of the most climate-vulnerable countries in the world, making the funding accessible through sources previously unattainable to participating countries.

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SCALE

Mobilizing Private Adaptation Investment

The SCALE project explores the launch of a new scalable climate finance platform to provide the full range of equity, credit, and technical assistance to private companies whose technology and solutions address the impacts of climate change globally. Building on the lessons learned from the first private investment fund for adaptation and climate resilience, Lightsmith will map climate resilience companies, engage investors and funders, and design systems for the new platform strategy.

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UNFCCC Adaptation Private Sector Initiative (PSI)

Mobilizing Private Adaptation Investment

UNFCCC's Adaptation Private Sector Initiative (PSI) under the The Nairobi work programme: UNFCCC knowledge-to-action hub on adaptation and resilience, The Private Sector Initiative (PSI) aims to catalyze the involvement of the private sector in the wider adaptation community.

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CPI report: Tracking and Mobilizing Private Sector Climate Adaptation Finance

Mobilizing Private Adaptation Investment

CPI Analysis finds the need to develop a taxonomy for tracking private sector finance in adaptation and build a machine learning model and dataset to support the expansion of its tracking.

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