With each passing year, extreme weather events and chronic climate-related changes occur more frequently and intensify globally. These changes put enormous pressure on communities worldwide to invest in adapting to climate change. Since 2012, Climate Policy Initiative (CPI) has sought to comprehensively track domestic and international investment in activities that address and respond to climate change through the Global Landscape of Climate Finance (the Landscape). High quality adaptation finance tracking can identify gaps and barriers in financing adaptation and resilience solutions globally, drive leaders and stakeholders to invest in or otherwise support increased finance flows, hold public and private actors accountable, and support government agencies in developing policy guidance.
Despite the critical importance of adaptation finance tracking, significant data and reporting challenges limit our ability to capture the full picture of global adaptation finance flows in the Landscape. Adaptation investment is difficult to track due to a variety of challenges, including the context dependency of adaptation projects, uncertain causality associated with potential adaptation investments, a lack of impact metrics, and confidentiality and reporting requirements.
From an international policy perspective, the need for tracking adaptation finance flows originates from a commitment made by developed countries in 2009 to jointly mobilize USD 100 billion per year in climate finance by 2020 for action in developing countries (UNFCCC, 2009). To support this aim to jointly mobilize climate finance in the hundreds of millions, CPI submitted research, A Snapshot of Global Adaptation Investment and Tracking Methods, to the Global Commission on Adaptation to inform its September 2019 flagship report: Adapt Now: A Global Call for Leadership on Resilience. The submitted research contains a new level of detail on adaptation finance tracked in the Landscape, including breakdowns of adaptation flows by sector and type of finance, a mapping of flows by region in key sectors, and country-level case studies to assess how vulnerability correlates with adaptation finance flows.