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Catalyzing Private Sector Investment in Climate Smart Cities (English)

The objective of this report is to explore innovative financing instruments and approaches for catalyzing private sector financing to fill the climate-smart investment gap in cities. The report reviews the existing literature, highlights key barriers in scaling-up private investment in climate-smart urban infrastructure, and showcases innovative financial de-risking instruments and other financial instruments for private sector financing for low carbon, resilient urban investments. The first chapter of the report introduces the topic and the second presents the challenges and the opportunities of urban climate investments. The third chapter discusses climate-smart cities and types of urban mitigation and resilience investments. The fourth chapter reviews and provides a framework to examine the interconnected layers of investment barriers specific to private investment, city financing, and climate-smart projects. Considering these risks allows investors and other stakeholders to better understand the complex web of challenges to expanding investment in urban climate projects and how they build on one another. Chapter five presents 10 case studies of innovative financing approaches to address some of these barriers and mobilize private sector finance for low carbon, resilient urban development. Finally, the conclusion in chapter six offers some key findings and considerations for the wider community of practice.


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    Carter,Lauren, Boukerche,Sandrine

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    The World Region,

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    Catalyzing Private Sector Investment in Climate Smart Cities

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    climate-related risks; vector-borne disease; Nature-Based Solutions; global gross domestic product; urban heat island effect; impact of climate change; Global Infrastructure Facility; financing need; municipal investment fund; exposure to climate risks; urban climate; private investment; breach of contract; private sector financing; greenhouse gas emission; cost of living; international capital market; jobs and growth; access to health; alternative power source; forms of energy; public private partnership; local climate change; development finance institution; national environmental policy; global financial crisis; infrastructure and services; vulnerability to disaster; department of transport; city road network; energy efficiency financing; fuel efficiency standard; nationally determine contribution; kreditanstalt fur wiederaufbau; limited capacity; external affairs; displacement of people; private equity investor; private sector competitiveness; final energy demand; Transport and Environment; level of change; regional water supply; flood control structure; peer review process; innovative financing mechanism; extended producer responsibility; level of fuel; urban energy consumption; international development finance; lack of control; community of practice; urban development plan; Disaster Risk Reduction; kind of investment; private sector finance; rising sea levels; housing subsidy program; income from agriculture; nonrenewable energy source; sustainable tourism industry; exchange rate fluctuation; municipal revenue generation; million people; combat climate change; public transit improvement; national government agency; local climate conditions; waste to energy; back into poverty; Urban Infrastructure; Urban Resilience; ghg emissions; spatial planning; Urban Planning; Green Buildings; rapid urbanization; climate resilience; green space; resilient infrastructure; green roof; blended finance; green infrastructure; Climate Investment; supply chain; urban investment; circular economy; natural hazard; urban design; investment potential; urban land; municipal government; climate adaptation; urban level; macroeconomic risk; heat stress; Business Continuity; urban population; investment opportunities; electric vehicle; municipal control; rooftop solar; municipal bond; land zoning; insurance product; individual city; expanding investment; institutional investor; integrated system; green growth; currency fluctuation; political risk; water gardens; storm water; business model; Real estate; national policy; street light; social housing; urban system; built environment; mitigation strategy; Public Transportation; rural area; natural environment; coastal flood; tax revenue; urban sector; extreme heat; storm surge; urban sprawl; infrastructure system; municipal account; circulatory system; public building; Global Warming; city competitiveness; city resilience; increased revenue; disaster resilience; energy performance; building code; Climate Smart; mangrove forest; carbon investment; motorized transportation; municipal budget; retirement home; energy building; development pattern; long-term resource; social sustainability; water standards; unexpected expense; reserve fund; implementing policy; pedestrian planning; local taxation; competitiveness concerns; private vehicle; local policy; renewable power; recent years; disaster plan; emergency facilities; Water Management; wastewater treatment; environmental damage; waste reduction; local control; smart cities; management structure; supply side; market analysis; green power; transit infrastructure; electricity price; land-use mix; livability city; land use; urban periphery; residential density; high employment; Waste Management; water resource; livable city; quality of house; household access; mountainous region; massive investment; central city; private finance; small cities; federal housing; multimodal transport; essential services; Coral Reef; related shock; new house; economic powerhouse



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Carter,Lauren Boukerche,Sandrine

Catalyzing Private Sector Investment in Climate Smart Cities (English). Invest4Climate Knowledge Series Washington, D.C. : World Bank Group.