Annual Report 2024
Download TIL's 2024 Annual Report
You will find here insights about the most recent challenges of transition finance and investment, inspiring stories and case studies about delivering impact along with returns in the MEASA region.
introduction
Executive Summary 2024
We find ourselves at a dramatic and transformative moment in history. The multiple disruptions and crises that define these challenging times—often referred to as a “polycrisis”—have reached tipping points that challenge our ability to respond effectively.
Executive Summary 2024
We find ourselves at a dramatic and transformative moment in history. The multiple disruptions and crises that define these challenging times—often referred to as a “polycrisis”—have reached tipping points that challenge our ability to respond effectively.
Section 1: Themes
Transition Investment and Geopolitical Risk
Geopolitical rivalry is the competition for economic, military and technological power and influence between nations or blocs of nations. It often manifests itself in the form of sanctions, export bans, screening of inward and outward investment plans on national security grounds, subsidies to induce repatriation of production, and import tariffs. It impacts companies by affecting their revenue streams, costs, ability to scale of operations and innovate. Geopolitical rivalries can contribute to political polarization by influencing national discourse, intensifying ideological divides, and fostering a more antagonistic political environment both internationally and domestically.
The Mobilizing Private Capital Equation
To close the investment gap for the SDGs and for the just energy transition – approximately $4.5 trillion annually – we need to drastically scale up private capital investment from the institutional investors that represent the deepest pockets in the world (asset owners: pension funds, insurance companies, sovereign wealth funds). And since SDG and climate problems do not always represent commercially viable solutions, this private capital will need to be ‘mobilized’. Fortunately, we have very good tools to achieve this – the financial structuring instruments that are now typically referred to as ‘blended finance’ – but there are certain barriers to scaling this up.
Navigating the Polycrisis: Sovereign Wealth Fund Sustainable Investments amid Geopolitical Shifts
The past four years have seen a simultaneous occurrence of multiple negative shocks: the COVID-19 pandemic and two devastating conflicts in Europe and the Middle East. Geopolitical risk has disrupted global value chains, causing strains on trade and inflationary pressures that monetary tightening can hardly alleviate.
Section 2: spotlight on measa
The Role of Blue Finance in Facilitating a Sustainable Blue Economy
The cultural and economic history of the UAE and the region is inextricably linked to its marine heritage and its marine ecosystem. Located on the southern side of the Strait of Hormuz, the UAE is at the crossroads of major trade routes and serves as a vital gateway for trade between the east and the west.
Why it flows into Africa
Best-selling author and journalist Christopher McDougall once wrote: “Every morning in Africa, a Gazelle wakes up. It knows it must outrun the fastest Lion, or it will be killed. Every morning in Africa, a Lion wakes up. It knows it must run faster than the slowest Gazelle, or it will starve’.
Catalysing Sustainable Infrastructure Projects to Combat Climate Change: the Pentagreen Capital solution
Pentagreen Capital (“Pentagreen”), is a debt financing platform dedicated to accelerating the development of sustainable infrastructure in Asia, with an initial focus on Southeast Asia. Its objective is to catalyse financing for “marginally bankable” clean infrastructure projects to help advance climate change mitigation and adaptation efforts and, more broadly, achieve the UN’s Sustainable Development Goals.