India, June 29 -- Global climate finance crossed the $2 trillion mark for the first time in 2024, reaching a record $2.008 trillion, according to the latest Global Landscape of Climate Finance 2026 report by the Climate Policy Initiative (CPI). However, annual growth slowed sharply to 6 per cent from 16 per cent in 2023 and 22 per cent in 2022, raising concerns over whether the world can mobilise capital fast enough to meet climate goals.

The report notes that climate finance has continued to grow despite the COVID-19 pandemic, energy market volatility, sovereign debt pressures and geopolitical conflicts, signalling a maturing market for climate investments. Yet, current flows remain far below what is needed. CPI estimates that annual cl...