By Deborah O’Connor, Associate Director, Sustainability and Climate at BDO

As climate change accelerates, the fight for a healthy planet must be inclusive. Yet all too often, women, especially in rural communities, are side lined in climate planning and funding. We must recognise that climate justice is gender justice. Women’s leadership yields better outcomes – studies show their participation leads to “more effective and equitable climate outcomes,” when women have a voice, communities manage resources more wisely and environmental solutions become more inclusive and impactful.

Finance is one of the most powerful levers shaping our future. Yet when it comes to the climate crisis, the flow of money still fails to reflect either the urgency or equity needed for real transformation. As the world mobilises trillions to accelerate decarbonisation and climate resilience, too little of that funding reaches the women and communities most affected by environmental breakdown. A just transition demands financial systems that work for everyone, especially those historically excluded.

Too many women still lack access to the credit, training, and insurance needed to thrive. Building climate resilience starts with financial resilience. In the world’s most climate-vulnerable regions, 753 million women remain without basic financial tools such as savings accounts and insurance. During climate disasters, women face disproportionate risks: 14 times more likely than men to lose their lives. These figures underscore a clear truth: empowering women financially is essential to advancing effective climate action.

When women are supported as farmers, entrepreneurs, and community leaders, they drive positive change across supply chains and ecosystems. In regions across Asia and Africa, initiatives that train women in climate-smart farming, such as the sustainable cultivation of bamboo, cocoa, and rice, have led to notable gains in productivity and environmental stewardship. Investing in women doesn’t just uplift individuals; it builds stronger, more resilient communities and ecosystems.

The UNFCCC’s finance committee has rightly stated that climate finance aligned with a just transition “can enhance climate resilience, reduce emissions, and advance gender equality.” Inclusive, equitable financial flows can multiply positive impact, helping communities adapt, ecosystems recover, and societies become more equal. Yet the reality remains stark: only a fraction of global climate finance reaches women and girls.

Public budgets and private investments still prioritise large-scale infrastructure and traditional energy sectors, often overlooking the immense potential of women-led enterprises and smallholder producers. This imbalance not only deepens inequality, it limits the effectiveness of our climate response. To change course, bold reform is needed.

Governments and investors must embed gender and environmental criteria into every aspect of climate-related budgeting and investment. This includes setting measurable gender targets within national climate plans, carbon markets, and green bonds, backed by transparent reporting and accountability mechanisms. Outcomes for clean energy, nature restoration, and adaptation must explicitly deliver benefits for women and their communities.

The good news is that innovative solutions are already emerging at the community level. In Bosnia and Herzegovina, for instance, the International Finance Corporation arranged a €20 million loan to a local microfinance bank, with at least half the proceeds reserved for women-owned businesses and 25% for green projects. By dedicating half the funding to women entrepreneurs, this scheme will “reduce the financing gap and support women in growing resilient, income- and job-generating enterprises.” It also expands credit for climate-friendly upgrades (like solar panels and efficient stoves) so that households and small businesses can cut energy costs and emissions. This is climate-smart finance in action, showing how commercial capital can be steered to serve inclusion and sustainability at once.

In Africa, the call for fair finance is not theoretical, it is urgent and deeply practical. Across the continent, women are the backbone of rural economies, responsible for up to 80% of food production in some regions. Yet, they face chronic barriers to land rights, credit, and climate-resilient technologies. The impacts of climate change such as floods, droughts, and shifting growing seasons, are intensifying food insecurity and economic vulnerability for women and their communities. But the continent is also home to powerful examples of innovation.

In countries like Kenya and Senegal, women’s cooperatives are leading solar microgrid projects, sustainable fisheries, and reforestation efforts that blend local knowledge with climate science. These initiatives succeed not despite their gender focus, but because of it. To scale such success, Africa needs climate finance that is fast, accessible, and aligned with community realities. This means supporting women not only as beneficiaries but as architects of climate solutions, from Mpumalanga’s transitioning coal towns to Zambia’s climate-resilient farming zones. A fair transition in Africa begins with trusting and financing its women.