Operationalizing just transition finance – SIFEM's just transition contribution assessment

Development finance institutions are uniquely positioned to support a just transition towards environmentally sustainable economies by directing capital towards climate solutions in markets where private finance remains scarce, while helping ensure that workers, communities and vulnerable populations affected by ecological transformation are not left behind. This case study explores how the Swiss Investment Fund for Emerging Markets (SIFEM), Switzerland’s development finance institution, approached the assessment of its practices and climate investments through a just transition lens. It examines existing approaches and practices at both SIFEM and its investee financial institutions levels, and identifies channels through which fund investments can deliver stronger social impact alongside positive environmental outcomes.