Ghana intends to mobilise nearly US$ 22.6 billion investment from both domestic and international public and private sources towards the implementation of her Nationally Determined Contributions (Gh-NDCs) commitments.
US$ 6.3 billion domestically (28.3% of total investment) is to be mobilized nationally whereas the US$ 16 billion is expected from international support.
However Ghana’s ability to raise the needed resources is uncertain given the fact that the country’s climate interventions are largely donor driven.
For example, Ghana’s 3rd Communication report to the United Nations Framework Convention on Climate Change (UNFCCC), states that “the total climate related financial inflows for the period 2011-2014, was US$1,208,746,027 representing 3.7% of GDP.
When the loan from China Development Bank is included, the total financial flow was US$2,208,746,027 which was 6.7% share of GDP. Grants constituted the largest share (69.2%), followed by loans (19.1%), national budget (6.9%) and result-based payment (4.9%)”.
Even though there are different climate financing mechanisms available, Ghana is yet to significantly access and maximize these opportunities including the recent Green Climate Fund (GCF). How then can Ghana sustainably raise the needed resources both domestically and internationally especially in the light of dwindling donor support having attained a lower middle income status?
The Strategic Youth Network for Development (SYND) takes a look at Ghana’s situation and proffers how domestic resource mobilization will be a sustainable option which is consistent with President Nana Addo’s “Ghana Beyond Aid” policy target.