Public Privatequity Partnerships : Accelerating the Growth of Climate Related Private Equity Investment

International Finance Corporation

International Finance Corporation, Washington, D.C.

关键词: PUBLIC-PRIVATE PARTNERSHIPS;    PRIVATE EQUITY;    INVESTMENT;    CLIMATE CHANGE;    VENTURE CAPITAL;   

RP-ID  :  114078

学科分类：社会科学、人文和艺术（综合）

来源: World Bank Open Knowledge Repository

【 摘 要 】

This brief expalins about acceleratingthe growth of climate related private equity investment andMitigating climate change requires vast investment. TheWorld Bank estimatesthe volume of financing needed to meetthe additional costs by the international community forclimate change-related development. However, this sumrepresents only the additional or incremental costs: itwould need to leverage nearly 20 times that amount—or up toas much as $4.6 trillion—from underlying investment financefrom other public or private sources. These investment needsare diverse, and catalyzing the necessary finance to addressthe challenge of climate change will require interventionsacross all asset classes. Among the various types ofcapital,Private Equity/Venture Capital (PE/VC) is uniquely suited tofinancing climate friendly investments that are risky,innovative,and relatively small. As a result, less than 2percent of PE/VC fund activities spread across all theemerging markets outside of India and China, despite thesecountries making up 20 percent of the world’s economy.Further, most investment in emerging markets has been madeby international firms investing from overseas. There isstill a very limited numberof locally developed climatefriendly private equity funds in Emerging Markets.