This presentation was delivered by Joan Stott of the Institute for Economic Justice (IEJ) at the CAN Finance After School session on 28 July 2026. The breakout session examined the regional implications of private finance across Africa, Asia, and Latin America, building on the May 2026 School sessions through concrete sectoral and regional case studies. Stott’s presentation focuses on the implications of private finance for South Africa’s climate transition, particularly the Just Energy Transition Partnership (JETP).
Private finance and the JETP
The presentation critiques the South African JETP Investment Plan (JET-IP), arguing that its heavy reliance on private and international finance risks prioritising profitability over public interests. It calls for a broader, economy-wide transition covering transport, food, energy, and agriculture, with workers, communities, and the public good at its centre.
Macroeconomic constraints
The presentation links the expansion of private climate finance to South Africa’s austerity-driven macroeconomic framework. It raises concerns that government may take on debt or provide subsidies to attract private investment, potentially increasing public costs. It also critiques monetary policy for prioritising financial stability over employment, productivity, poverty reduction, and green economic transformation.
Public finance and development institutions
The presentation argues that public finance should be the primary driver of the just transition, with development finance institutions (DFIs) playing a stronger role in providing patient, long-term capital. It highlights the Industrial Development Corporation (IDC), Development Bank of Southern Africa (DBSA), and National Empowerment Fund (NEF) as important instruments, while calling for governance reforms and a stronger public-interest mandate.
A people-centred transition
The presentation advocates democratic public ownership, greater regulation and transparency of private finance and international financial institutions, and industrial policies that support climate resilience and decent work. It positions public investment as essential to reducing social risks and ensuring that the costs of the transition do not fall disproportionately on citizens.
Conclusion
The presentation concludes that South Africa is at a critical crossroads in shaping its climate finance architecture. A just transition requires public finance, democratic accountability, and economic transformation to take precedence over profit-driven private finance, ensuring a climate-resilient economy that delivers inclusive growth and social justice.