Public sources ranged at least between USD 16-23 billion, or 5-6%, of the total amount. A large proportion of this amount reflects domestic government support to renewable energy projects and related infrastructure, as engines of economic growth.
Private finance continued to represent the lion’s share of total climate finance flows with USD 217-243 billion, or 63% of the total. Close to two-thirds of private finance came from developed countries.
Public and private financial institutions played an important role in the climate finance land- scape, raising and channelling USD 110-120 billion. Public intermediaries (such as Multilateral, Bilateral, and National Development Banks) distributed USD 77 billion, or about 67% of these resources. Public intermediaries can also enable private investment and help make projects viable.
Our analysis of instruments indicates that most climate finance, USD 293-347 billion out of USD 364 billion, can be classified as investments in which public or private financial institutions had an ownership interest or claim – that is, money which has to be paid back – rather than as contributions to incremental costs. Public intermediaries enabled otherwise unviable projects through the use of instruments such as concessional loans and grants.
Mitigation activities attracted USD 350 billion, mostly related to renewable energy and energy efficiency. Emerging economies were key recipients of climate finance. Close to 33% of mitigation-related finance was invested in China, Brazil, and India.
The Global Landscape of Climate Finance 2012 identifies global climate finance flows of USD 364 billion in 2011.
The private sector provided the majority of finance, mostly from developed countries. The public sector acted as a catalyst for private investment by providing incentives and concessional loans, as well as bilateral aid to developing countries.