Friday, September 19, 2014
Joint MDB Report on Climate Finance, just released...
I thought you would be interested in this third edition of joint MDB report on Climate Finance that was released today. So, forwarding the same.
The present report, as mentioned, is based on the joint MDB approach for climate finance reporting, which was first reported in 2012 by the group of Multilateral Development Banks (MDBs - the Asian Development Bank (ADB), the African Development Bank (AfDB), the European Bank for Reconstruction and Development (EBRD), the European Investment Bank (EIB), the Inter-American Development Bank (IDB) and the International Financial Corporation (IFC) and World Bank (WB) from the World Bank Group (WBG)) to work towards better climate finance tracking.
The summary of the report says that the information provided has been expanded to include a better sectoral breakdown, and split by public and private operations. MDBs together, as reported, provided USD 23.8 billion in financing in 2013 to address the challenges of climate change and, since 2011, have provided over USD 75 billion in climate finance to developing and emerging economies.
Of the total USD 23.8 billion in climate finance, 80%, or USD 18.9 billion, was dedicated to mitigation and 20%, or USD 4.8 billion, to adaptation. Of the total commitments, 9%, or USD 2.2 billion, came from external resources, such as bilateral or multilateral donors, including the Global Environment Facility and the Climate Investment Funds.
The report mentions that the regional coverage for 2013 is quite balanced with two regions (East Asia and Pacific, Non-EU Europe and Central Asia) each receiving roughly 20% of total climate finance provided and four regions (South Asia, Sub-Saharan Africa, Latin America and Caribbean, EU New Member States) 10-15% each. In regards to sector coverage, 22% of adaptation finance went to “Coastal and riverine infrastructure (including built flood protection infrastructure)” and 30% to the category comprising “Energy, transport, and other built environment and infrastructure”. In mitigation finance, renewable energy still takes by far the largest share, with 25% of the total.
Even though we are yet to analyse this report, one needs to find out what has actually gone in to the finance details. I am sure, more constructions and infrastructure building in the name of flood control etc. have received major focus as they generally do. Then the finance, as always, comes with more ‘knowledge intervention’ in terms of influencing policy decisions of the recipient countries; I am sure.
The report itself mentions that the MDBs’ activities on climate change go beyond financial operations in many areas, such as for example advice on project design, policy dialogue or the application of climate-specific safeguards. Much of the technical support to our clients on climate change may be of small volumes but with major impacts.
The report can be assessed at the following link:
Look forward to your comments and suggestions.
Thanks and regards,