Climate finance should work for everyone, so why are women left behind?

When we think of the global fight against climate change, we picture large-scale international agreements, massive corporations, and big governments leading the way. The reality is that climate change impacts are felt most intensely by women and systematically marginalised communities of the global majority, especially those on the frontlines of the climate crisis. Yet, these groups often find themselves sidelined in climate action discussions. To change this, we need gender-responsive climate financing — a framework that prioritises the unique needs and strengths of these communities. While the idea is gaining traction, challenges like lack of transparency, accountability and meaningful participation still prevent funds from reaching those who need them most.

Women and girls are disproportionately affected by climate change, whether through the burden of unpaid care work, increased exposure to climate hazards or their limited access to resources. When climate action overlooks their needs, it exacerbates existing gender inequalities and undermines the effectiveness of the response, especially for women facing multiple forms of discrimination.

When done right, gender-responsive climate finance goes beyond addressing these inequalities – it promotes transparency by ensuring that resources are allocated equitably, making it more difficult for corruption to thrive. It also taps into the valuable knowledge, leadership and resilience of women and marginalised communities. Their contributions can lead to more sustainable and effective solutions. For example, women in rural communities often possess long-standing experience with environmental issues and play key roles in managing natural resources. A gender lens on climate financing helps ensure that these voices are heard, that their needs are met, and that their leadership is supported.

According to reports from past COP meetings, many of the promises made on the international stage to integrate gender considerations into climate financing are not being fulfilled. Funds allocated for gender-sensitive climate initiatives are often insufficient or not reflected in actionable strategies.

A major reason behind this is a lack of meaningful engagement with women and marginalised groups. This can manifest in unfair competition for resources, a lack of access to decision-making platforms and the perpetuation of power dynamics that favour the already privileged. To change this, women need to be involved in shaping policies and programmes. Mozambique is developing criteria to support women’s meaningful participation in climate negotiations. This means providing them with access to resources for capacity building, to green finance, and to the co-design of gender-responsive climate policies.

Greater transparency and accountability in climate funding is crucial. Transparency means tracking how funds are allocated, how they are spent, and who benefits from them. Accessible and clear information about this ensures that the public – including women and marginalised communities – have the power to ask questions and demand accountability.

In Madagascar, TI chapter have been implementing specific initiatives to promote inclusiveness, focusing on marginalised groups such as the Vondron'Olona Ifotony (VOIs), local community leaders responsible for protecting forest and coastal areas. A guide on participation in climate projects has been created to empower VOIs to communicate key messages within their communities, ensuring grassroots adoption. One important aspect of the guide highlights the gender perspective, emphasising the need for women’s involvement in decision-making and ensuring they benefit equitably from climate initiatives.

Similarly, in Cameroon, TI chapter conducted a research study to assess the risks of corruption in governance mechanisms, specifically in managing public funds for climate change projects, with a focus on gender mainstreaming and social inclusion. The organisation supported communities involved in the CAMERR project in Yamindjang and Ebiminbang, helping them strengthen their associations for better accountability and oversight of the projects. A workshop was held to consolidate local mechanisms for monitoring climate change projects, with a balanced participation of both men and women, highlighting the importance of gender equality in ensuring project integrity and effectiveness.

Women's voices are often missing in climate finance due to discrimination, purposeful exclusion and deeply rooted societal norms. These range from stereotypes about women's roles being confined to domestic tasks to a lack of access to education or information and social stigmas that discourage women from speaking out or engaging in public decision-making processes. Additionally, insufficient data and research on gender-specific climate impacts make it harder to prioritise women's needs. Institutional biases and a lack of gender-sensitive frameworks in finance and policy also contribute to the gap in representation.

Over the years, however, conversations around gender and climate change at high-level events have evolved. At COP29, we saw several discussions focusing on gender, social inclusion, and climate action. The extension of the Lima Work Programme on Gender (LWPG) and its Gender Action Plan (GAP) is one positive development. These frameworks aim to embed gender perspectives into climate policy and financing. Nonetheless, the journey has not been without resistance.

There was significant pushback at negotiations around funding commitments in GAP against using inclusive, intersectional language – acknowledging women and girls in all their diversity – showing that, despite progress, gender inclusion in climate financing remains a frustratingly contested issue. Moreover, undue influence from private interests often favours profit-driven agendas over the needs of women and other marginalised groups. This leads to the misallocation of resources, preventing effective climate solutions.

While there has been progress in advancing gender-responsive climate policies, corruption remains one of the biggest barriers to ensuring that climate finance reaches those most affected by climate change.

Current patterns of climate finance show that the main recipients of climate-related development finance are countries with low readiness to adapt to climate change, in need of these funds the most and often struggling to control corruption. In fact, the top ten countries receiving the most gender-targeted climate finance have a score that is lower than average on TI’s 2024 corruption perceptions index with the exception of Costa Rica. This raises the question around how much of these funds is reaching those who need them and calls for more in-depth research work and analysis.  

To combat this, we need to strengthen anti-corruption measures, and institute independent auditing, reporting and community oversight mechanisms. For example, the Gender and Corruption Workshop organised by TI Zimbabwe brought together civil society organisations to explore how corruption disproportionately affects women and marginalised groups. The key takeaway? Anti-corruption organisations must build coalitions with equality-focused partners, such as women’s organisations, to push for systemic change.

Financial mechanisms must also prioritise the needs of women and marginalised communities. Gender-responsive budgeting is a key strategy for ensuring climate financing addresses the specific needs of women and marginalised communities. Morocco’s Noor-Ouarzazate solar complex integrated gender-sensitive initiatives that created jobs for women and promoted their leadership in the energy sector. Capacity building is also crucial as many grassroots organisations, often led by women, face barriers to accessing climate finance. The UN Women’s Gender-Responsive Climate Action Program helps local women’s organisations by providing training on project design and financial management, supporting the development of technical skills to implement climate projects successfully.

Direct funding to local communities is another essential approach. The Green Climate Fund, for example, has directed funding to community-based climate resilience projects, but more efforts are needed to ensure that these projects focus on women’s leadership. Gender-lens investing, exemplified by the 2X Challenge, a commitment by G7 development finance institutions to invest in women, has mobilised over US$ 33.6 billion since 2018, supporting women in various sectors, including renewable energy.

These actions will support women and marginalised communities to take the lead in addressing climate change issues that impact them directly, building a more equitable and sustainable future.