The Asia-Pacific region is at a critical juncture in addressing the dual challenges of economic growth and climate change. Climate change poses an urgent threat, with its effects manifesting in rising sea levels, extreme weather events, and ecological disruptions. At the same time, it takes a significant toll on the economy, human health, and the environment.1 The region, home to over half of the global population, is one of the most vulnerable to climate risks, and the need for sustainable solutions has never been more pressing.

Despite the scale of the problem, innovative solutions are emerging to address climate challenges, particularly in climate-tech and impact-focused ventures. These technologies hold immense potential to mitigate greenhouse gas emissions, transition to cleaner energy systems, and foster sustainable practices in industries such as agriculture, energy, transport, and waste management. However, many of these climate innovations remain underfunded, with climate finance not fully realizing its potential in catalyzing change.

While various financing mechanisms exist, climate-related investments need to be scaled up significantly to match the magnitude of the challenge. According to the 2023 Climate Finance Landscape Report, only a small percentage of climate finance is directed toward impact-driven startups and ventures. More
robust private sector engagement and innovative financing models are needed to mobilize capital for climate-tech solutions, enabling the transition to a low-carbon economy.

In this context, fostering collaboration between policymakers, industry leaders, investors, and entrepreneurs is crucial. The private sector, with its capacity for innovation and capital mobilization, plays a vital role in scaling solutions for pollution reduction, energy efficiency, and sustainable
infrastructure. Public-private partnerships and industry collaborations are increasingly seen as essential for driving impactful action and achieving long-term sustainability goals.