Climate finance and climate risk management under discussion in Maputo

Systemic Sphere, VdA and GDA Advogados promoted a debate dedicated to climate finance and the management of climate risks on 12 March, in Maputo.

The event brought together representatives from the public, financial and insurance sectors, among others, to reflect on the challenges and opportunities associated with mobilising climate resources in Mozambique. VdA, GDA Advogados and Systemic Sphere also announced their partnership to provide integrated legal, technical and economic advisory in the areas of Environment and Climate, including climate finance and climate risk management, carbon markets, biodiversity and nature, among others.

In a context marked by the advancement of the National Climate Finance Strategy 2025–2034, the session featured the participation of Jadwiga Massinga, from the National Directorate of Environment and Climate Change, who addressed the challenges and priorities of the legal reforms required for the effective management of climate resources.

She began by referring to the Mozambican context, characterised by high vulnerability and limited capacity to adapt to climate change, before outlining the legal framework and ongoing reforms, including the National Climate Finance Strategy, which aims to redirect the financial system to increase investment in climate and sustainable actions through regulation, incentives and institutional capacity-building. She also highlighted the climate commitments undertaken under the Paris Agreement and analysed certain climate finance mechanisms, such as carbon markets.

According to Jadwiga Massinga, the keynote speaker at the event, the main perspectives and challenges for the future involve a comprehensive and robust legislative review and harmonisation, the creation of national financial mechanisms, institutional strengthening, and the reinforcement of transparency and accountability mechanisms.

The first roundtable focused on the topic “Strengthening Access to Climate Finance: Actions and Instruments.” Catarina Pinto Correia opened with an intervention that, starting from a reference to climate risks—both physical and transitional—in the Mozambican context, highlighted the need to attract investment and to expand innovative financing mechanisms, including private and international investors, as drivers of change. She analysed carbon, biodiversity and nature markets, and outlined key international trends. According to Catarina Pinto Correia, “the path forward must involve contributions from all stakeholders, including national authorities and public entities, multilaterals and bilateral cooperation, climate funds and private operators, in promoting these mechanisms.”

The debate, moderated by Lorna Guilande from GDA Advogados, was enriched by valuable contributions from Aristides Muhuate, from the National Sustainable Development Fund, Florian Paffenholz, from GIZ Mozambique, Jadwiga Massinga, and Patricia Darsam, from ABSA Bank.

The second roundtable, on “Climate Risks and the Financial Sector: Challenges and Solutions,” began with an intervention by Sofia Santos, partner at Systemic, who analysed climate risk and Mozambique’s vulnerability factors. She also addressed the impacts of rising temperatures and global responses, which include the integration of climate risks into the prudential risk management of financial institutions, as well as the role of central banks and financial regulators.

According to Sofia Santos, “climate risk is not theoretical for Mozambique—it is a present reality and financially material for the financial sector,” emphasising that it “is becoming a central issue for financial stability.” The debate was moderated by Dimas Sinoia from Systemic and included contributions from José Gamito (BCI), Pedro Munhepe (Bank of Mozambique), Israel Muchena (Hollard Seguros), Simião Cossa (ISSM), and Benedito Murambire (Financial Sector Deepening Mozambique).

This event provided an important platform for dialogue on the integration of climate risks into risk management systems and on the role of the financial sector in addressing the challenges of climate change in Mozambique.