Developing markets see climate finance drop
Global clean energy investment hit record levels in 2020 despite the pandemic, but the overall rise masked a decline in developing countries, new data shows.
Driving the news: The research firm BloombergNEF, in a summary, said investors "retreated hastily from less developed markets to refocus on wealthier countries as the Covid-19 pandemic spread."
How it works: The BloombergNEF analysis tracks asset finance for renewable power, vehicle electrification and electrification of heating.
Why it matters: Pathways to lower carbon emissions show a need for greatly expanded investment in both longstanding industrial economies and developing markets.
- For instance, an International Energy Agency report this month said despite surging global renewable power growth, its scenario for net-zero emissions by 2050 requires a doubling of projected capacity additions over the next half-decade.