The Climate Fund as an example of public impact investing in a case study by the Investor Agenda

The Investor Agenda is a coalition of seven international investor networks whose goal is to accelerate the transition to a carbon-neutral economy. The networks that belong to it are the Asia Investor Group on Climate Change (AIGCC), CDP, Ceres, Investor Group on Climate Change (IGCC), Institutional Investors Group on Climate Change (IIGCC)and Principles for Responsible Investment (PRI) as well as UNEP Finance Initiative, operating under the UN. The cooperation aims to produce information on how investors can best influence the fight against climate change through their activities. 

The Investor Agenda regularly publishes case studies to highlight progressive investors in the climate change field. Of the four new case studies published yesterday, one deals with the Finnish Climate Fund, aiming to illustrate in particular the role of public financiers in accelerating funding and how investors can measure climate impact. 

In the case study, the Climate Fund is showcased as one of the ways to achieve Finland’s carbon neutrality goal in 2035, and the study highlights the focus and criteria guiding the Climate Fund’s financing activities. In addition, the case study describes the instrumentation and administrative structure of the company. 

According to estimates, limiting global warming to the 1.5-degree target requires additional investments of up to 3,500 billion dollars annually on top of current commitments. In Finland, the corresponding additional investment need is estimated at 1–8 billion euros annually on top of current commitments. Public funding can play a significant role in supplementing the financial market, targeting and leveraging climate solutions, especially in the riskier scaling-up phase. The Climate Fund is happy to participate in bringing out the role of an impact-oriented public financier as a booster of private climate investments also in international research. 

Read more:

Climate Fund Case Study 

More information about The Investor Agenda 

On the need for investment in climate action in the Nordic countries and globally: 

BCG report Nordic Net Zero – the Green Business Opportunity 

McKinsey report The net-zero transition  

Preview article
Climate Fund to accelerate the digitalisation of the food chain through DataSpace Europe
Next article
Climate Fund invests €10 million in Norsepower for accelerating emissions reductions in the shipping industry