Low-income populations, smallholder farmers, and micro-enterprises in emerging economies contribute the least to global carbon emissions but bear the brunt of climate change impacts. Prolonged droughts, severe weather events, and changing agricultural seasons threaten livelihoods, degrade natural resources, and can easily erase years of asset accumulation, pushing households back into extreme poverty.

Green Financial Inclusion expands access to formal financial tools specifically to help vulnerable populations build climate resilience. By providing access to tailored savings plans, micro-insurance, and climate-smart credit, inclusive financial systems help low-income communities adapt to environmental shocks, secure their livelihoods, and invest in sustainable business models.