Climate Finance Mainstreaming and Development of a Climate Finance Plan for Addis Ababa City

OneWorld Europe 

Climate finance enables environmental sustainability, economic development, social equity, and global cooperation. It is essential to enable cities to effectively mitigate, adapt and respond to the challenges posed by climate change. Access to climate finance is fundamental for cities to initiate and implement projects and programmes that build resilience and enable the transition to sustainable development pathways. Several factors, such as climate vulnerability and lack of capacity to respond to funding opportunities, have been identified as limiting the City of Addis Ababa’s access to climate finance.

OneWorld is part of the multi-disciplinary team commissioned by C40 Cities under their Climate Action Implementation (CAI) in Africa programme, part of the broader UK government-funded Urban Climate Action Programme (UCAP). The objective of the project is to build awareness around climate finance and support its mainstreaming into the activities of the City of Addis Ababa – particularly in the waste, energy transport, and disaster risk reduction sectors.

The main outputs of this project include stakeholder engagement workshops that focus on discussing major climate finance gaps and identifying key activities to mainstream climate finance as well as the development of a climate finance plan that outlines the opportunities around accessing climate finance both internationally and nationally; provides a high-level overview of climate finance gaps for selected sectors when compared to actions in the climate action plan; and a shortlist of areas that should be focused on for mobilising external finance. This can support the decision-making around integrating climate actions into the budgeting process.