Fragile and conflict-affected settings (FCS) face unique challenges that can impede the effective utilization of climate finance. These settings not only grapple with socio-political instability but also bear a disproportionate impact of climate change. This panel discussion aims to shed light on the importance of conflict-sensitive approaches in the design, allocation, and management of climate finance from the perspective of donors, funds, and executing entities. By integrating these approaches, multilateral climate funds can better address the nuanced needs of FCS, ensuring that climate finance not only contributes to environmental sustainability but also fosters peace and resilience in these vulnerable regions. Understanding how to mobilize finance at scale, effectively reach the most vulnerable, and enhance risk appetite is crucial for supporting fragile and conflict-affected settings more effectively. On this backdrop, our panel is designed to comprehensively address the multifaceted challenge of climate finance in fragile and conflict-affected settings. The side event begins with welcome remarks that set the stage for understanding the challenges associated with climate finance in fragile and conflict-affected settings. This is followed by a focused panel discussion titled “Overcoming Challenges: Increasing Risk Appetite in Fragile Contexts,” which delves into the current actions of donors, funds, and implementing entities, and examines the challenges and solutions they face in these environments. Following the panel discussion, and as a separate highlight of the event, we will have the launch of the Climate Security Programming Dashboard for Climate Finance and the related Thematic Guidance Notes produced by CGAIR Focus Climate Security and Interpeace. This launch promises to offer a set of tools and insights that contributes to peace-informed decision-making in climate finance. The session concludes with a Q/A segment, allowing for an interactive dialogue between the audience and the panellists.