NAIROBI, Sept. 28 (Xinhua) -- Kenya on Thursday called on development financial institutions to devise innovative climate financing frameworks to drive green growth.
Njuguna Ndung'u, cabinet secretary of the National Treasury and Economic Planning, said that the new financial architecture would help Africa access financing for its green initiatives.
"The call for reforms in the international financing architecture would align with the aspirations of the Paris Agreement and facilitate climate finance flows to where they are needed most," Ndung'u said during the virtual launch of the Kenya Country Focus Report 2023 by the African Development Bank (AfDB), with the theme of mobilizing climate change financing.
According to Ndung'u, the new financing model should involve the private sector, allowing them to contribute up to 25 percent of climate financing, as the majority of funds currently come from the public sector.
AfDB President Akinwumi Adesina said that African nations need to develop long-term strategies for green growth and strengthen capital markets to attract financing. He suggested that one way to attract private financing in the sector is through the issuance of green bonds.
Nnenna Nwabufo, AfDB's director-general for the East Africa region, stressed that Africa must incorporate private sector financing if it is to fund its ambitious green initiatives.
The drivers of green growth include the reduction in greenhouse gas emissions. The report called on Kenya to increase the use of blended finance instruments to finance green growth.
