The Secretary-General of the United Nations established the High-level Advisory Group on Climate Change Financing in February 2010. Following its terms of reference, the Advisory Group worked around the goal of mobilizing US$100 billion per year by 2020.The Advisory Group concluded that it is challenging but feasible to meet that goal. Funding will need to come from a wide variety of sources, public and private, bilateral and multilateral, including alternative sources of finance, the scaling up of existing sources and increased private flows. Grants and highly concessional loans are crucial for adaptation in the most vulnerable developing countries, such as the least developed countries, small island developing States and Africa.The report argies that:
international private investment flows are essential for the transition to a low-carbon and climate-resilient future.
the multilateral development banks, in close collaboration with the United Nations system, can play a significant multiplier role and leverage additional green investments.
direct budget contributions based on existing public finance sources, such as domestic revenues, could continue to play an important role, as Governments may prefer to increase direct budget contributions before they implement new instruments
several of the sources examined could be operational relatively quickly, in particular domestic public sources. As for private finance, flows of investments will depend on a mix of Government policies and on the availability of risksharing instruments. Confidence in policies and instruments could be built fairly quickly, but others may require more time to be implemented.