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Understanding the possible role of private actors in contributing to countries’ adaptation efforts and how to involve them in tackling countries’ adaptation priorities, can help nations achieve climate-resilient development goals more effectively.

In this San Giorgio Group Case Study, Climate Policy Initiative studies the Pilot Program for Climate Resilience to highlight early lessons from a project engaging private actors in building the resilience of Nepal’s agricultural sector. The overarching goal of this project is to establish models for climate-smart agriculture that make climate resilience a business proposition for the private actors involved, long beyond the project’s life.

We find that while farmers, agribusinesses, and local banks all have incentives for engaging in the project, public resources are needed to build capacity, mitigate risks and demonstrate the business case. We also identify a number of key strategies that could inform future interventions targeting private sector participation in climate resilience including: early consultation with private actors during the development of countries’ programs and projects; in-depth market studies to identify business models for climate resilience; dedicated international public finance streams for private sector projects; and enhanced pilot testing in Middle-Income Countries to learn lessons and identify best practices to be transferred to Least Developed Countries.

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