MDBs pledge to boost climate financing – ADB

Multilateral development banks (MDBs) issued a joint statement at COP29, outlining ambitious plans to increase climate financing and drive transformative change in low- and middle-income countries.

The MDBs aim to collectively provide $120 billion in annual climate finance to low- and middle-income countries by 2030, with $42 billion allocated to adaptation efforts.

Additionally, they aim to mobilise $65 billion from the private sector. For high-income countries, the annual climate finance target is set at $50 billion, including $7 billion for adaptation, with a $65 billion mobilization goal from the private sector.

The MDBs have exceeded their 2025 climate finance targets, increasing direct climate finance by 25 per cent and doubling climate finance mobilisation over the past year.

The statement emphasises the importance of leveraging MDBs’ catalytic role to maximise the impact of their financing, deepen country engagement, and mobilise private sector investment.

The MDBs have also released a common approach to measuring climate results, which aims to track progress on climate mitigation and adaptation efforts. This framework will help ensure that MDB activities contribute to global climate goals.

Furthermore, the MDBs have reaffirmed their commitment to supporting country platforms for climate action, fostering collaboration between countries, MDBs, donors, and the private sector.

Attribution: The Asian Development Bank report

Subediting: M. S. Salama