As part of the Africa Climate Summit, the United States Agency for International Development (USAID) has unveiled a suite of investments and initiatives dedicated to climate action in Africa. These include $35 million in new investments for this year. These investments aim to enhance climate resilience and promote sustainable economic growth across African communities. Notably, they support the new Emergency Plan for Adaptation and Resilience (PREPARE), the Just Energy Transition Partnerships, and global efforts to protect crucial carbon sinks.
Landscape view of Kerio Escarpment, Great Rift Valley, Kenya, Africa.
USAID has pledged a $1.4 million investment to bolster Kenya's carbon market activation plan and associated regulatory framework. This initiative underscores USAID's commitment to ensuring the integrity, transparency, and equity of the carbon market.
Furthermore, through Development Innovation Ventures, USAID plans to invest $1.5 million in supporting Kenya's BasiGo electric bus transport company, facilitating its expansion into Rwanda. This move is set to boost access to clean and green public transport options.
Read more: Green infrastructure: how nature can improve urban living
Expanding on its Clean Air Catalyst initiative, USAID will inject $2.9 million to collaborate with local government leaders in Nairobi, Jakarta, and Indore, aiming to combat air pollution stemming from transportation and waste burning. Notably, this initiative aligns with USAID's global efforts to reduce air pollution.
USAID's partnerships extend to Power Africa, where $4.8 million will be directed towards advancing South Africa's Just Energy Partnership investment plan. Additionally, they will invest in the African Development Bank's Sustainable Energy Fund for Africa and the African Legal Support Facility, further strengthening clean energy access and support for clean energy transactions.
Read more: UAE Carbon Alliance commits a staggering $450 million to African carbon credits
Through Prosper Africa, USAID will contribute $1.75 million to impact investment funds, EG Capital and The Catalyst Fund, with the aim of leveraging a combined $140 million to support climate resilience and high-growth startups across various sectors in Africa.
In Tanzania, USAID will invest $8 million in a five-year partnership with the Jane Goodall Institute to enhance the management of natural resources. Furthermore, $2.1 million will be allocated to improving the climate resilience of coasts and fisheries in Tanzania.
USAID's contributions extend to the C40 Cities Finance Facility, with a focus on adaptation and nature-based solutions to mitigate flood risk in South African cities.
Lastly, through its Enterprises for Development, Growth, and Empowerment Fund, USAID will invest $2.5 million in Acorn's Cooperative Carbon Finance Fund, enabling smallholder farmers to access the voluntary carbon market, with 80% of the proceeds benefiting these farmers, thereby promoting climate-smart and resilient agriculture.
These strategic investments by USAID underscore its commitment to advancing environmental sustainability and climate resilience in Africa and beyond, mirroring its shared dedication to fostering a sustainable future that transcends mere environmental impact and embraces the broader spectrum of social and economic wellbeing.
In alignment with our dedication to nature, DGB Group's vision extends beyond just carbon sequestration. Our ethos revolves around embracing a holistic sustainability approach, acknowledging that sustainability encompasses climate, environmental, economic, and social considerations. To realise this multifaceted sustainability approach, we engage in collaborative efforts with all stakeholders. This inclusive network includes government bodies, local communities, businesses, and NGOs. We believe these strategic alliances play an instrumental role in securing the success of our large-scale nature-based projects.
Join the green transformation; invest in DGB’s 8% green bonds
