MANILA, Philippines – The Asian Development Bank (ADB) and the Government of Canada announced a new trust fund of Can$360 million (US$255 million) to support climate action in Asia and the Pacific.
The Canadian Climate and Nature Fund for Private Sector in Asia (CANPA) will focus on private-sector projects that promote climate-friendly solutions and nature conservation, while also advancing gender equality. Canada will contribute Can$350 million for project investments and Can$10 million for technical assistance.
“This fund builds upon our decade-long partnership with Canada to help mobilize private capital in Asia and the Pacific for climate action,” said ADB Vice-President for Market Solutions Bhargav Dasgupta. “CANPA will accelerate the region’s transition to a low-carbon and climate-resilient future by lowering financing risks and making projects more attractive to investors, with a particular focus on empowering women and girls.”
The ADB will manage CANPA on Canada’s behalf. The fund aims to help private companies reduce greenhouse gas emissions, shift away from carbon-intensive operations, and become more resilient to climate change. It will also promote “nature-based solutions” like sustainable agriculture and aquaculture to protect and restore ecosystems.
The Asia-Pacific region is particularly vulnerable to climate change, facing threats like extreme weather events, prolonged droughts, and floods. Over 60% of the region’s population works in sectors highly susceptible to climate impacts.
CANPA will leverage ADB’s expertise in private sector investment and build on the success of previous initiatives like the Canadian Climate Fund for the Private Sector in Asia (CFPS) launched in 2013 and CFPS II in 2017.