Financing Sustainability: A Comprehensive Review of Supply Chain Finance's Impact on Scope 3 Emissions in Agri-Food Systems of Emerging Economies

Abstract

This systematic review investigates financing mechanisms for sustainable agriculture in emerging markets, focusing on reducing agri-food companies' Scope 3 emissions. It evaluates public financing, private financing, blended finance, and innovative approaches like digital finance and blockchain. A conceptual framework encompassing financing mechanism design, capacity building, and enabling environment is developed, identifying critical design elements and theoretical challenges. Key findings highlight the transformative potential of leveraging diverse instruments, the crucial role of digital technologies in enhancing transparency and efficiency, and the importance of tailored solutions, capacity building, and multi-stakeholder collaborations. The framework underscores the need for holistic approaches that align these elements to catalyze widespread adoption of sustainable practices in agri-food supply chains.