CIIP at COP30: Leveraging DFIs for green industrial transitions

At COP30 in Belém, Brazil, Cambridge Industrial Innovation Policy (CIIP) hosted an event exploring how Development Finance Institutions (DFIs) can help bridge the climate finance gap and accelerate the green industrial transition.

The session From billions to trillions in climate finance: leveraging DFIs for the green transition was organised in partnership with the Centre for Management and Strategic Studies (CGEE) and the Brazilian Development Association (ABDE), and supported by the Open Society Foundations (OSF).

Exploring how DFIs can drive the green transition

The discussion, chaired by Mateus Labrunie, centred on the evolving role of DFIs in reducing investment risk, catalysing private capital, and aligning public and private financing with the green transition. Speakers Dil Rahut, Vice Chair of Research and Senior Research Economist at the Asian Development Bank Institute (ADBI), and Luciana Costa, Director of Infrastructure, Energy Transition and Climate Change at the Brazilian Development Bank (BNDES), shared perspectives from both international and Brazilian development finance landscapes.

Participants discussed:

• New instruments DFIs are deploying to support green projects
• How DFIs balance climate goals with broader economic development objectives
• How best to stimulate and sustain green innovation
• Ways of ensuring transitions that are locally driven and socially inclusive

Key takeaways

Insights from the session highlighted:

• The significant role of DFIs in catalysing private investment in green industries and infrastructure
• The importance of clear and credible green taxonomies to prevent greenwashing and to guide investment decisions
• The need for DFIs to expand technical assistance, helping to make green projects bankable and ready for investment
• The value of innovative financing mechanisms and partnerships for scaling climate finance from billions to trillions

The findings from the session will support future policy recommendations and deepen international dialogue on how DFIs can help mobilise climate finance at the scale required to deliver a just and sustainable transition.

About the project

This event forms part of our project in partnership with CGEE and ABDE, funded by OSF, examining financing strategies for green industrial transition and developing international case studies on effective DFI practices.

Find out more about our project:
The role of Development Finance Institutions in the green transition