Meeting the Paris Agreement goals will need a rapid acceleration of finance towards clean energy
investments in emerging and developing economies. Blended finance is an important tool that can
help mobilise commercial investment towards clean energy, whilst preserving scarce public resources
for wider climate and development objectives. A systematic approach to the deployment
of blended finance – that tailors instruments to the nature of underlying barriers to commercial
investment, minimises concessionality, has a clear exit strategy, and is co-ordinated within a
wider ecosystem of support and enabling measures – can help maximise its development impact and
stimulate private sector development.
This Highlights document is based on the OECD Environment Policy Paper “OECD Blended Finance
Guidance for Clean Energy”.
