Launched at the African Union Pavilion at COP30 in Belém, a new initiative aims to mobilise private capital for resilient and inclusive green development.

The Adaptation Finance Window for Africa (AFWA) marks a significant step in the effort to close the climate adaptation finance gap on the continent. With support from Denmark, Iceland and the Nordic Development Fund, the initiative will use public capital to unlock private investments that strengthen local resilience to climate impacts.

Africa is among the regions most exposed to climate risks – from droughts and floods to declining agricultural yields. Yet, adaptation finance remains scarce, particularly from private sources. AFWA addresses this imbalance by offering catalytic funding and technical assistance to support investment vehicles targeting nature-based solutions, water, agriculture and energy systems that serve vulnerable communities.

AFWA is developed under the Investment Mobilisation Collaboration Alliance (IMCA), a Nordic-led coalition launched with Danish backing. It aims to demonstrate how blended finance can drive sustainable development in emerging and developing economies, particularly in climate-sensitive sectors.

“Denmark has been instrumental in launching IMCA and AFWA because we believe that Nordic expertise, when paired with equitable partnerships, can help deliver the solutions needed to address the climate crisis,” said Denmark’s Minister for Foreign Affairs, Lars Løkke Rasmussen.

Denmark has pledged DKK 150 million to AFWA, matched by the Nordic Development Fund, while Iceland is also contributing. The funding is expected to mobilise more than DKK 750 million in private capital over the coming years.

Royal support

The launch took place at the African Union Pavilion, where H.M. Queen Mary of Denmark delivered remarks as part of her broader engagement at COP30, which also included participation at the Denmark Pavilion – coordinated by State of Green.

“I strongly believe that our collective efforts matter – they mattered yesterday, they matter today, and they will matter tomorrow. High-level events such as COP30 play a crucial role in fostering collaboration, driving innovation and promoting collective action. This gives us reason for hope and optimism. And hope and optimism are key drivers of change. (…) The potential for green growth in the future is enormous. Today’s launch of the “Adaptation Financing Window for Africa” – AFWA – here in the African Pavillion, perfectly illustrates the potential and the complexity of climate policy. “ H.M. Queen Mary of Denmark.

Read the full speech by the Queen

Building on past momentum

The announcement follows IMCA’s earlier initiative – the Greening Value Chains in Africa (GVCA) window – launched at COP29 in Baku, also at the Denmark Pavilion. That window focuses on unlocking private investments into Africa’s green energy transition value chains, including local manufacturing and recycling, to ensure broader socio-economic gains beyond raw material extraction.

Through these initiatives, IMCA has positioned itself as a central platform for coordinating large-scale blended finance efforts. The World Climate Foundation – a State of Green network partner – acts as IMCA’s Secretariat, supporting implementation and coordination across donors, financiers and project developers.

Call for investment proposals open

Investment managers can now submit proposals to AFWA aimed at delivering adaptation and resilience outcomes. The goal is to create scalable models that demonstrate how public finance can reduce risk and attract commercial capital to where it is most needed.

With global climate finance still falling short of targets, AFWA offers a replicable model for international collaboration that links donor ambition, private capital and local impact.