Climate finance adoption in emerging markets: key enablers from a multi-stakeholder perspective

Purpose This study aims to investigate the critical factors enabling climate finance adoption for sustainable agriculture in developing countries. Design/methodology/approach By surveying about 1,500 diverse stakeholders involved in climate change issues in the Mekong Delta, Vietnam, and using censored regression models, the paper uncovers insights into the motivations and barriers faced by the public, business owners and local government officials. Findings The results indicate that technological advancements, supported by climate finance, promote adoption across all groups. Additionally, effective dissemination of climate finance information builds trust among the public and businesses, while local officials show a preference for international funding sources. Accessibility and positive experiences with climate finance initiatives further enhance adoption among the public and local governments. This study conceptualizes climate finance as a groundbreaking social innovation and highlights the necessity of comprehensive adoption strategies. Research limitations/implications This study has several limitations that future research could address. First, while it identifies key determinants of climate finance adoption, additional factors such as household income, social networks and institutional trust may also play a role. Second, the study relies on convenience sampling, which may introduce selection bias. Although a Heckman correction was applied, future studies should consider stratified or random sampling to enhance generalizability. Lastly, time and resource constraints limited the study to Vietnam’s Mekong Delta. Expanding the scope with longitudinal or cross-country data would provide a deeper understanding of climate finance adoption dynamics across different regions. Practical implications This study offers actionable insights for policymakers, businesses and financial institutions promoting climate finance. The findings suggest that enhancing technological innovation and improving accessibility to finance can significantly boost adoption. Governments should streamline information dissemination and simplify funding application processes to increase participation. Additionally, fostering partnerships between the public and private sectors could drive investment in climate-smart technologies. Financial institutions can design tailored financial products for different stakeholders, ensuring sustainable agriculture initiatives receive adequate funding. These insights can help refine policies and financial mechanisms to facilitate wider adoption of climate finance and support the transition to sustainable development. Social implications The adoption of climate finance has significant social benefits, particularly for communities vulnerable to climate change. By increasing accessibility to funding and technological innovations, climate finance can empower farmers, businesses and local governments to implement sustainable agricultural practices. This not only enhances food security but also creates economic opportunities and job stability in rural areas. Furthermore, transparent financial mechanisms can build trust among stakeholders, encouraging broader participation. Socially inclusive policies that consider diverse stakeholder needs, especially those of marginalized communities, are crucial to ensuring equitable climate finance distribution and fostering long-term resilience against climate change. Originality/value By comparing stakeholder perspectives, the authors provide deeper insights into climate finance adoption and offer actionable policy recommendations to support sustainable agriculture in developing countries.