The Challenge
Climate change acts as a threat multiplier, intensifying the key drivers of conflict and instability – including water and food insecurity, displacement, resource competition, and economic fragility – in places that are least equipped to respond.
Nineteen of the 25 countries most vulnerable to climate change are also among the world's most fragile and conflict-affected states, yet these are the regions that global climate finance consistently fails to reach. Fragile and conflict-affected countries receive less than 10% of global climate finance, constrained by donor risk aversion and financing structures ill-suited to complex operating environments.
Closing this gap requires more than increased funding – it requires financing structures designed for high-risk contexts, a broader range of capital types, and the institutional relationships needed to deploy them effectively. We work with investors, supranational institutions, and governments across the Global North and South to direct investment towards projects that deliver both climate resilience and security outcomes.
Identifying the structural, regulatory, and risk-related barriers that prevent financial flows from reaching climate-vulnerable and conflict-affected regions, and developing targeted approaches to overcome them. Designing solutions that diversify the types of capital operating in these environments and expand the sources of investment available.
Designing and structuring financing instruments capable of operating in complex, high-risk environments – including mechanisms that combine public, concessional, and private capital in ways that make investment viable where conventional structures cannot function.
Drawing on deep relationships with investors, supranational institutions, and governments across the Global North and South to broker the connections and coalitions needed to deliver climate and security outcomes in the world's most challenging contexts.
Multi-tranche structures that use concessional or grant capital to absorb first-loss risk, enabling private and institutional investors to deploy capital in conflict-affected and climate-vulnerable environments they would not otherwise enter.
Risk transfer instruments that provide rapid, pre-agreed payouts when defined climate triggers are met – offering a faster and more reliable financing response in fragile contexts than traditional indemnity-based approaches.
Mechanisms that partially or fully guarantee returns to private investors, reducing the perceived risk of deployment in high-fragility environments and unlocking capital that public finance alone cannot mobilise.
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