New knowledge to boost investment for sustainable climate transition
Please note: This text was translated by AI and has not been reviewed. In case of any uncertainties, the Swedish version applies.
Achieving climate goals and halting biodiversity loss requires not only technological solutions but also a fundamental change in how capital flows through society. Formas is now funding eight research projects that will help enable and promote investments for a sustainable climate transition.
The call is part of the national research program on climate and will strengthen collaboration between researchers and social actors. The projects will take a holistic approach to financing and investment and contribute new knowledge that can be put into practice - locally, nationally and globally.
Capital flows as a tool for change
The climate transition needs to be accelerated and financing and investment are key factors. Today, capital often flows in traditional channels that work against a sustainable climate transition, with institutional and regulatory obstacles as well as other barriers to market access. Reversing this trend will require changes in policies, regulations, business models and behaviors. New ways of measuring, valuing and managing risk are also needed.
The projects awarded funding demonstrate a broad range of approaches and themes. They focus, among other things, on financing for the transition of the agricultural sector, on how investments in nature-based solutions can be co-created, and on the impact of regulations for carbon reduction, such as carbon taxation.
The climate challenge is global and requires solutions that reduce emissions, strengthen adaptive capacity and promote negative emissions. At the same time, a broader systemic perspective needs to be included to avoid negative side effects, but also enable positive ones.
- It is gratifying to see the breadth of the approved projects. The project portfolio also has the necessary international outlook with actors and case studies in different parts of the world. It will be interesting to follow the projects. Knowledge and results will be implemented and used already during the project," says Åsa Moberg, Research Secretary at Formas.
Granted projects
Here are the eight projects that have been granted funding:
- VERIFARM: Verified strategies for financing agricultural climate transition and enhanced biodiversity - Linköping University
Develops methods to measure emissions and biodiversity at the farm level and create financial tools that direct capital to sustainable agriculture. - INNOFIN - Innovative financing models for nature-based solutions - Uppsala University
Developing and testing new financing models in five countries to enable scaling up of nature-based solutions. - How do climate policy and access to finance affect business transition - Stockholm School of Economics
Investigates how regulations and financing affect companies' investments and climate strategies, in collaboration with the Riksbank. - INVEST-CDR: Financing and policy coordination for carbon capture markets - IVL Svenska Miljöinstitutet AB
Analyzes how investments and policy instruments can promote negative emission technologies such as BECCS and DACCS. - Behavioral factors affecting high-income people's investments in climate-smart solutions - Lund University
Exploring psychological and behavioral factors that influence climate investments - among affluent households. - Comparing financial payment mechanisms to reduce emissions: Evidence on what works and their effects on equity - University of Gothenburg
Testing different payment models in India to reduce emissions in agriculture and examining effects on equity. - Enabling factors for investment in sustainability projects in low and lower middle income countries - StockholmEnvironment Institute
Identifies drivers and barriers to private investment in climate and nature projects in developing countries. - Agricultural debt landscape: How does debt-driven agricultural development affect adaptive capacity? - Stockholm University
Analyzes how debt affects agricultural sustainability and resilience in the Global South.
Call for proposals and complete decision list
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