Africa Focuses on Climate, Nature and Carbon as Key Investment Areas
Climate change, biodiversity loss and ecosystem degradation are no longer just environmental concerns; they are becoming central to investment strategies across Africa.
According to the United Nations Environment Programme (UNEP), the global biodiversity finance gap could reach USD 942 billion per year by 2030, yet current finance flows into nature total only around USD 200 billion annually, with just USD 35 billion coming from private capital.
Private investment in nature-based solutions has surged over the past decade, increasing from USD 9.4 billion to over USD 100 billion, with projections suggesting it could reach USD 1.45 trillion by 2030 if the current momentum continues.
Carbon markets, climate adaptation infrastructure, and nature-based solutions are increasingly treated as linked investment themes, creating new asset classes across carbon, biodiversity, and climate resilience.
Africa’s economies are particularly exposed. Natural capital accounts for 30%-50% of total wealth in many countries, often exceeding the value of factories or infrastructure. Recent events, such as flooding in Kruger National Park and water stress in South Africa’s Western Cape, highlight how climate and ecosystem risks can directly impact economic stability and public finances.
Ahead of the Africa Green Economy Summit (AGES) 2026, the Climate, Carbon & Nature Financing Academy will take place in Cape Town on 24 February, focusing on translating climate, carbon, and nature into bankable projects and investable assets. Financing instruments include carbon markets, green, blue and wildlife bonds, debt-for-nature swaps, and performance-linked finance.
“The escalating impact of climate change in Africa calls for the global community and private sector to recognise that a climate-resilient Africa is essential for global stability, prosperity, and shared security,” said Harsen Nyambe, Director for Sustainable Environment and Blue Economy at the African Union Commission.
By placing climate, carbon, and nature finance at the forefront, AGES 2026 signals that these themes are no longer peripheral; they are becoming core pillars of Africa’s investment future.
