Core Mandate
Accelerate the financing and achievement of the UN’s Sustainable Development Goals by catalyzing climate finance, particularly focused on uplifting small and vulnerable economies.
Our primary focus is on:
- SIDS (Small Island Developing States)
- EMDEs (Emerging Markets and Developing Economies)
- LDCs (Least Developed Countries)
The Challenge
Climate change is the most pressing global challenge. More frequent and intense droughts, storms, heat waves, rising sea levels, melting glaciers and warming oceans are some of the consequences of climate change we are already experiencing today, the magnitude of which will only get worse if no adequate action is taken. Addressing climate change requires input and change from every government, company and individual around the globe. Though there has been meaningful momentum, the world is not on track to achieve the goal enshrined in the Paris Agreement of limiting global warming to well below 2°C or ideally 1.5°C. To meet that goal, countries and companies have committed to reaching net-zero emissions of CO2 and reducing emissions of other greenhouse gases (GHG) by 2050.
It must be noted that access to capital for small and developing economies is limited, while those are the most affected by climate change.
Decarbonization Journey
Today, the world is undertaking the net-zero transition, an ambitious effort to reach net-zero emissions of CO2 and reduce emissions of other greenhouse gases (GHGs). The goal of the transition is outlined in the Paris Agreement adopted by the United Nations in 2015: to limit global warming above preindustrial levels to well below 2.0°C, and ideally to 1.5°C. Doing so would reduce the odds of initiating the most catastrophic impacts of climate change.
According to the Intergovernmental Panel on Climate Change (IPCC), limiting warming to 1.5°C would require reducing GHG emissions by 43% between 2019 and 2030 and cutting net emissions of CO2 to zero by around 2050.
Today, net-zero commitments have been made by more than 8,000 companies and by countries representing 90% of global GDP. Also, 150 countries have pledged to reduce methane emissions.
Most recent negotiations at COP28 concluded with the UAE Consensus, one notable element of which was the agreement on a global transition away from fossil fuels in energy systems, in a just, orderly, and equitable manner, accelerating action in this critical decade, to achieve net zero by 2050 in keeping with the science.To have a chance of limiting global warming to 1.5˚C, more ambition is needed, as well as a focus on converting pledges to measurable action.
The Opportunity
Climate change offers businesses and private investors an unprecedented chance to capitalize on new growth and investment opportunities that can protect the planet as well. BGI Green aims to therefore mobilize capital from the private sector to compelling and profitable climate-friendly investment opportunities through its dedicated Green Funds.
Our resource allocation strategy is geared towards mitigation measures, leveraging synergies and minimizing potential trade-offs.
Our Approach To AI
At BGI Green, we view Artificial Intelligence (AI) as an essential catalyst for achieving operational efficiencies, refining strategies, and elevating the quality of investment decision-making. Our commitment extends to seamlessly integrating AI across the entire investment lifecycle, spanning from fund-raising to exit planning. We initiate the AI application by harnessing its capabilities for investment analysis during deal sourcing, where we meticulously evaluate a diverse array of projects and companies from around the world. Our associates and analysts leverage AI for comprehensive market research, incorporating alternative data analysis, and employ AI-driven analytical tools to conduct thorough due diligence. We rely on generative AI to optimize portfolio allocation and enhance risk management practices.
We rely on generative AI to optimize portfolio allocation and enhance risk management practices.