Adaptation Investment Planning

Developing countries have made significant progress in establishing NAP and identifying adaptation priorities within their NDC. These strategic plans, developed through collaborative efforts led primarily by Ministries of Environment and Climate Change, aim to define critical short-, medium-, and long-term adaptation needs. However, these plans typically lack the detailed structure required for investment, including specific funding mechanisms and financial instruments. As climate change impacts accelerate, the urgency to transition from planning to implementation grows. Structured climate adaptation investment planning is essential for mobilizing the necessary large-scale, programmatic financing to ensure these national adaptation priorities become actionable and financially viable.

The complexity and fragmentation of financial flows, along with limited access to diverse funding sources, hinder scaling up adaptation finance. Adaptation strategies must evolve from broad priorities to investment-ready plans, integrating clearly defined funding mechanisms and aligning with sectoral strategies, national development frameworks, and public investment cycles. Beyond financial resources, countries need to enhance institutional capacities, policy coherence, and integration of adaptation finance into development priorities. Transitioning towards structured, predictable, and programmatic investment approaches, embedded within ministries of planning, finance, and sectoral agencies, will be critical. Strengthening coordination, regulatory frameworks, and innovative financing mechanisms is vital for effectively channeling adaptation finance into priority areas and establishing it as a cornerstone of sustainable economic development.

The Adaptation Investment Planning Supplement, building on the Climate Investment Planning and Mobilization Framework, addresses these issues by guiding stakeholders in mobilizing effective adaptation climate finance. (Available soon)