Global climate finance reaches $125b in ’23

Multilateral development banks (MDBs) announced that their global climate finance reached a record $125 billion in 2023, more than double the amount provided in 2019.

This funding is crucial for low- and middle-income economies, which received $74.7 billion—67 per cent for climate mitigation and 33 per cent for adaptation. Private finance mobilised for these economies totalled $28.5 billion.

High-income economies were allocated $50.3 billion, with 94 per cent directed towards mitigation efforts. Private finance for high-income countries stood at $72.7 billion.

The announcement precedes the 29th session of the Conference of the Parties (COP29) in November 2024 in Baku, Azerbaijan, where increasing global climate finance will be a key agenda item.

EIB Vice President Ambroise Fayolle emphasised the need for ongoing efforts to meet the Paris Agreement goal of limiting global warming to 1.5 ºC.

The European Investment Bank (EIB) contributed significantly, delivering $42.1 billion in high-income economies and $4 billion in low- and middle-income regions.

The MDBs’ joint report highlights their commitment to transparent climate finance reporting and accountability as they work toward collective climate targets.

Attribution: The European Investment Bank (EIB)

Subediting: M. S. Salama