To effectively unlock private climate finance through NDCs, governments must prioritize early and strategic alignment with the private sector, ensuring that climate ambitions are translated into investable projects for both mitigation and adaptation. Establishing institutionalized “country platforms” can serve as a bridge between NDC targets, national growth strategies and project pipelines, enhancing transparency and enabling cross-ministerial coordination (see next section).Decoupling implementation efforts from the political dynamics of UNFCCC negotiations can further accelerate progress by depoliticizing climate finance and focusing on practical delivery. Finally, adopting sector-specific approaches allows for tailored strategies that translate NDCs into actionable investable opportunities, fostering greater engagement from private actors across key industries. The concept of country platforms is not a new one. The World Bank has advocated for them since 2017, as did the G20 Eminent Persons Group on Global Financial Governance in 2018 and the G20 Finance Ministers in 2020.73 Initiated by national beneficiary governments, in partnership with MDBs and DFIs, country platforms aim to enhance coordination among development finance stakeholders. Currently, MDBs and DFIs support individual projects on a fragmented and ad hoc basis, often driven by short-term donor and beneficiary priorities instead of long-term climate policy alignment. Country platforms aim to develop a pipeline of projects by linking long-term investment plans to NDCs. In other words, country platforms aim to make NDCs an investable proposition.Country platforms encourage donors, DFIs and MDBs to coordinate their efforts rather than compete for the same projects. They propose to direct development finance towards catalytic purposes such as concessional finance, guarantees and technical assistance while creating an enabling environment for private investors to collaborate with project developers during the project preparation phase. Direct engagement with sovereigns not only ensures investor perspectives are reflected in policy-making but also helps reduce the gap between perceived and actual risks. To facilitate greater engagement, the IMF has begun co- convening roundtables with governments and private sector stakeholders to foster greater alignment and collaboration. By doing so, these platforms aim to mobilize private capital at scale, complementing public investments rather than displacing them. We must use our money to leverage the private sector as effectively as possible. Governments must focus on fixing the enabling environment — that means tackling the debt crisis, aligning MDBs and using tools like credit enhancements to crowd in domestic capital. There are no secrets here; we know what needs to be done. Rachel Kyte, UK Special Representative for Climate Indonesia’s Energy Transition Mechanism (ETM) country platform BOX 14 The Energy Transition Mechanism (ETM) country platform in Indonesia, launched with support from the Asian Development Bank (ADB), the World Bank and the Islamic Development Bank, aims to accelerate coal phase-out and scale up renewable energy investments. Anchored in Indonesia’s national strategy and aligned with its NDC, the platform uses blended finance – including concessional capital and guarantees – to de-risk investments and attract private capital. ADB’s role includes convening stakeholders, structuring bankable deals and supporting policy reform. This initiative exemplifies how country platforms can move beyond fragmented project support to enable long-term, coordinated investment planning while leveraging MDBs’ local presence to reduce perceived risks.74Create stable investment policies and country platforms that make NDCs an investable proposition Asset managers Project developers Corporates Institutional investors EMDE governments Banks MDBs and DFIsSOLUTIONS: LONG-TERM From Risk to Reward: Unlocking Private Capital for Climate and Growth 37

Risk to Reward 2025