KPMG Calls for 28-Fold Increase in Private Climate Finance by 2030

KPMG International's Global Climate and Renewables Leader has called for a dramatic scale-up in private climate investment in emerging markets and developing economies, arguing that a 28-fold increase in private finance is required by 2030 to meet global climate goals. The commentary was published ahead of the World Economic Forum Annual Meeting in Davos, where mobilising private capital for climate-driven growth is a key agenda item.

In 2023, only USD 36 billion in private climate finance reached emerging markets and developing economies, which are home to more than two-thirds of the world's population and account for 80% of global energy demand growth. An estimated USD 1 trillion in external finance per year is needed by 2030, the bulk of which must come from private sources. The COP30 Mutirão decision in Belém set out a two-year plan to mobilise public and private finance for these economies, targeting USD 1.3 trillion per year by 2035.

KPMG has identified three priorities to unlock private climate capital: improving access to bankable project pipelines, implementing policy and regulatory reform, and ensuring data transparency and quality. These interventions are seen as critical for building investor confidence. The world's 100 largest asset owners manage over USD 26.3 trillion in assets, but translating that capital into emerging market climate investment requires de-risking mechanisms and clearer regulatory frameworks.

The Davos 2026 theme of "A Spirit of Dialogue" underscores the need for collaboration across governments, businesses, and civil society. COP30 also produced a notable shift in investor willingness to finance climate adaptation, including a resolution to at least triple adaptation finance by 2035. KPMG has published these views in a joint report with the World Economic Forum titled "From Risk To Reward: Unlocking Private Capital for Climate and Growth," aimed at shaping regulatory and investment frameworks.

Key figure — USD 1.3 trillion per year by 2035