“What can private capital do, and what can it not do?”
“They represented the private capital that needs to be moved to achieve the goals set in the 2030 Agenda and the Paris Agreement, and we talked about what is needed for them to come on board to deliver finance in emerging markets,” said SSFC Senior Advisor Cecilia Repinski, who moderated the event.
“We talked about what they see as projects or products they can invest in,” said Repinski, adding: “I think it’s necessary to have an open conversation about what private actors can do, and what they can’t do.”
Swedfund’s Maria Håkansson for her part shared experiences of where governmental backed finance successfully exited from projects as private actors came in. Another panellist, Albena Melin of the International Finance Corporation (IFC), shared experience from providing guarantees.
Another issue panellists discussed was how blockchain and digital solutions could provide a resource to inform actors. The event also highlighted the importance of research which, especially when taking the perspective of sustainable finance recipients, can ensure that the design of financial instruments is fit for purpose.
Neither top-down, nor bottom-up: finding middle ground is needed
After 90 minutes, the event concluded having given everyone much food for thought. Asked about her main take-away, Charlotta Bobjer of the Swedish UN Mission said: “All panellists saw a need for partnership and cooperation between different actors on the local and global levels. The conclusion was that a bottoms-up approach is not sufficient. What is needed is that global initiatives and funds and local ownership and knowledge meet in the middle to ensure successful results.”
Research fellow Matthew Osborne agreed: “What we learned was the need to join up the dots and provide the space for all actors on different levels to come together and find solutions,” he said.