Development finance plays a significant role in financing countries’ green economic growth. CPI works with development finance institutions to assess the effectiveness of their policies, instruments, investments, and portfolios, while identifying risks and opportunities. This includes work with the International Development Finance Club (IDFC), a group of 26 national and regional development banks from all over the world, to map their green finance commitments and providing recommendations for how they can align their operations and strategies with the Paris Agreement.
This study identifies the changes the Paris Agreement implies for the role of Development Finance Institutions (DFIs) – specifically members of the IDFC – and how they may implement these changes through a targeted set of activities.
Supporting National Development Banks to Drive Investment in the Nationally Determined Contributions of Brazil, Mexico, and Chile
The Paris Agreement combats climate change through country-defined sustainable development plans, aiming to align financing flows with low-carbon climate resilient growth. National development banks and local financial institutions can play key roles in providing climate financing and supporting implementation of these plans.
The International Development Finance Club (IDFC) is the leading group of 26 national and regional development banks from all over the world, the majority of which are active in emerging markets. During the United Nations Climate Action Summit 2019, IDFC resolved to mobilize significant volumes of financing for meeting climate and development goals.
A new normal after the COVID-19 pandemic requires a green and just economic recovery. Here is our most-read work from 2020 that responds to the challenges, and a preview of what is in stock for 2021.
We outline the process for developing a national climate finance landscape in four steps. By working through each step, countries will learn key insights to how, when, and from whom finance is flowing towards climate action.
Debt-for-climate swaps have become a movement within development finance over the past few months. But: Are they really a good idea, and if so what hurdles must be overcome to get to the opportunities beyond?
While challenging, scaling up climate finance ideas is possible, and is greatly facilitated by four success factors that can be influenced by the entrepreneurs developing these initiatives and their stakeholders.
Now, more than ever, development finance has a role to play in addressing both short and long-term needs, setting market signals, and taking risks the private sector can’t bear – all roles crucial for setting the trajectory toward a more sustainable future.
Climate budget tagging will help identify, classify, and weigh climate-relevant spending, thereby enabling the estimation, monitoring, and tracking of such expenditures