Scaling Blended Climate Finance: What Works in Practice

May 23, 2026 - 02:48

A special event during London Climate Action Week will bring together policymakers, fund managers, and development experts to examine how blended finance can be expanded to meet global climate goals. The session, co-hosted by the Catalytic Climate Finance Facility and the Government of Canada, will focus on practical strategies rather than theoretical models.

Blended finance uses public or philanthropic capital to attract private investment into projects that might otherwise be seen as too risky. While the concept has gained traction in recent years, the challenge remains in moving from small pilot programs to large-scale deployment. Organizers say the event will highlight specific case studies where this approach has worked on the ground, including in renewable energy, sustainable agriculture, and climate adaptation in developing countries.

Speakers are expected to discuss the barriers that still exist, such as currency risk, lack of standardized metrics, and the difficulty of structuring deals that satisfy both impact goals and investor returns. The discussion will also cover how governments and development finance institutions can better coordinate to reduce duplication and speed up capital flows.

The event aims to provide actionable insights for those designing or funding climate projects. With global climate finance still falling short of what is needed, finding ways to make blended models work at scale is seen as a critical step toward closing the gap.