The World Economic Forum has unveiled its Playbook of Solutions, an innovative digital platform that details 100 policy measures, financing mechanisms, and de-risking solutions developed over the past two decades to successfully unlock capital for clean energy investments in 47 emerging and developing economies (EMDEs).
To accelerate the clean energy transition and triple renewable energy capacity by 2030, there is a pressing need to scale up investments and financing significantly. Achieving this transformation will require annual average investments in renewable energy to multiply by five to seven times, reaching at least US$1.7 trillion by 2030. EMDEs are projected to account for 90% of the growth in global energy demand by 2035, housing a significant portion of the world’s population. However, they currently attract less than one-fifth of global clean energy investments, partly due to risk profiles and regulatory environments that may not align with many investors’ preferences.
“The Playbook aims to debunk some of the myths surrounding the developing world and demonstrate that innovative solutions for EMDEs by EMDEs already exist,” stated Samaila Zubairu, President & Chief Executive Officer of the Africa Finance Corporation (AFC) and Co-chair of the Network. “Strategic partnerships led by reputable institutions like the AFC are essential to bridging the clean energy investment gap in the Global South, as they will accelerate the global shift to clean energy, enhance economic resilience, and address the urgent energy needs of emerging markets.”
In addition to presenting 100 solutions from 47 countries, the Playbook highlights four integrated national approaches through detailed analyses of Brazil, Chile, Egypt, and India’s success stories. These analyses illustrate how these countries have secured billions in clean energy capital by implementing a comprehensive mix of strategies, including innovative policy measures and financing platforms. These strategies involve government commitments supported by attractive and stable policies, such as tax incentives and auctions; guarantees and currency hedging to mitigate investment risks; and innovative structures like debt swaps to enhance financing.
The Playbook of Solutions serves as a guide for governments, development finance institutions, and private sector energy and finance stakeholders as they navigate energy transition project financing in emerging markets. It emphasizes that a combination of policy action, de-risking tools, and innovative financing mechanisms is essential to unlocking the $1.7 trillion needed in the Global South, demonstrating that no single entity can achieve this goal alone.
