A hand holding a plant./PHOTO ; pexels-akilmazumder-
The Investment Mobilisation Collaboration Alliance (IMCA) has announced the launch of a new Adaptation Finance Window for Africa, backed by philanthropic partners and supported by the World Climate Foundation.
The initiative will mobilise more than USD 100 million in private investment to accelerate climate adaptation efforts across the continent.
The Adaptation Finance Window for Africa builds on IMCA’s first Global Adaptation Finance Window, launched at COP28 in 2023 with support from USAID, the Danish Ministry of Foreign Affairs, and the Swedish International Development Cooperation Agency.
That initiative drew more than 40 fund manager applications and is projected to channel substantial capital into adaptation globally.
This Africa-focused window will target high-impact solutions such as climate-smart farming and technologies, coastal and nature-based resilience, climate-resilient infrastructure, and technologies addressing extreme heat, displacement, and migration.
“This new Adaptation Finance Window for Africa reinforces Denmark’s commitment to unlocking scalable climate solutions through strategic partnerships. This initiative is a powerful step towards building climate resilience across Africa and demonstrates how Nordic cooperation can drive innovative finance for global impact,” Jesper Hilsted Andersen, Chief Counsellor for Development Finance at the Danish Ministry of Foreign Affairs.
Addressing Africa’s Adaptation Gap
Africa faces an adaptation finance gap of nearly USD 50 billion annually, with current inflows covering only 15 percent of the needs. Shrinking foreign budgets have intensified the shortfall, while a lack of project pipelines and due diligence capacity continues to deter private investment.
With philanthropic backing, the World Climate Foundation is stepping in to help build investable pipelines, unlocking adaptation projects that can attract private finance.
“We are proud to partner with ClimateWorks Foundation on the Adaptation Finance Window for Africa. This grant marks an important step toward scaling climate finance and advancing the Sustainable Development Goals. By combining IMCA’s blended finance model and Magnitude’s expertise, we are committed to driving investments to build more resilient ecosystems across Africa,” Jens Nielsen, CEO of the World Climate Foundation.
Complementary Finance at Work
The new Africa window illustrates how philanthropy and concessional government capital can reinforce rather than replace each other in blended finance.
Their complementary nature is expected to mobilise more than USD 100 million in private capital for African adaptation needs.
IMCA will implement the initiative with support from Magnitude Global Finance, a sustainable finance advisory firm that will guide the fund selection process and leverage networks to scale private investment.
Jessica Brown, Senior Director of Adaptation and Resilience at ClimateWorks Foundation, noted: “This innovative partnership offers key funding for climate adaptation solutions in emerging markets. Philanthropy can partner with the public and private sectors to scale blended finance and catalyse climate action at the rate we need for a resilient future. We’re proud to work with foundations and governments to increase people-centered development finance across the African continent.”
Expected Outcomes
- Launch of two or more investment funds or platforms
- Over USD 100 million in capital mobilised
- Shared learning tools and common metrics
- Growth of adaptation as a scalable investment theme
The World Climate Foundation serves as IMCA’s operating partner, overseeing the new window’s roll-out and ensuring implementation of its objectives.
About IMCA
Launched in 2023, IMCA is a global initiative led by the Nordic governments to create an investment pipeline that draws concessional public finance and catalyses private capital for climate action in emerging markets and developing economies.
Its members include the governments of Denmark, Sweden, Norway, Finland, and Iceland, together with Impact Fund Denmark, the Swedish International Development Cooperation Agency, and the Nordic Development Fund.
Observers such as the UK and Canada, along with partners including Convergence and ClimateWorks Foundation, also support the alliance.
To date, IMCA has launched three funding windows aimed at attracting billions of USD in private investment.
philanthropy, climate finance, Africa adaptation, private capital, IMCA, Nordic governments, green investment
