Climate finance

Climate finance is a cross-cutting theme focused on accelerating adoption of climate and sustainability solutions through supporting collaborations between corporations and the global financial system that improve measurement, monitoring, reporting, and decision-making.

Entities that assess climate investment opportunities and companies that make financial commitments to meet climate and sustainability targets share a desire for their investments to achieve impact, with impact including both carbon reduction and social enhancement goals. However, matching financial instruments with the monitoring and measuring of impact remains a challenge.

We at the MCSC are uniquely placed to explore this topic, with connections to relevant research projects at MIT, including the Aggregate Confusion Project, as well as climate finance focused programs across our member companies. Specific research under this theme includes data communication between companies and financial markets, climate financial innovation, net zero alignment, the role of incentives in the verification and validation of ESG ratings, insets/offsets, and the financial case for corporations to use carbon markets and other tools in the climate finance space.