MDBs' climate leadership
Multilateral Development Banks (MDBs) have the potential to be key leaders of the global transition to a climate-safe world. They play a critical role in climate finance by providing and mobilising funds for climate mitigation and adaptation, including to meet global targets such as the New Collective Quantified Goal, agreed at COP29. Much progress has been made to increase the climate and environmental credentials of MDBs, but there is much to be done in to increase their contribution to the climate transition and safeguard the progress that has been made to align MDB portfolios with the Paris Agreement. The project brings together key shareholders of the largest MDBs to optimise the role of development finance in accelerating the transition and creating the right political conditions for effective leadership on climate change issues. The project also seeks to raise awareness of the role that MDBs play with civil society, academics, and other stakeholders in Germany and beyond.
- IKI funding
- 2,212,098.00 €
- Duration
- 12/2020 till 01/2027
- Status
- open
- Implementing organisation
- Third Generation Environmentalism Ltd (E3G)
State of implementation/results
- E3G works with governments and CSOs on improving countries’ access to climate finance through MDBs, including through public as well as bilateral deliberations on climate finance architecture reforms as well as the creation of country platforms to more effectively channel funding to country priorities.Within this project, E3G brings together progressive contributor countries aiming to improve the governance and overall climate finance effectiveness of MDBs. Representatives from Ministries of Foreign Affairs, Finance and Climate meet on a regular base under Chatham House rules.
- E3G also undertakes outreach to countries in the Global South to build collaborative approaches to enhancing climate outcomes.
- The E3G Public Bank Climate Tracker Matrix is kept under continual review. It covers both Multilateral Development Banks and Development Finance Institutions to reflect major changes that has been made in these institutions.
- In 2024, E3G published a series of articles on the World Banks Evolution Roadmap, as well as the World Bank’s alignment with the Paris Agreement goals.
Latest Update:
04/2025
Further links
- Event: How can Multilateral Development Banks evolve to drive a rapid climate transition? – Marrakesh, October 2023
- Event: How can MDBs deliver climate safety? – Wilton Park, Sussex, October 2022
- Blog: Paris Agreement alignment in the World Bank’s Evolution Roadmap – E3G, March 2023
- Article: World Bank Group Paris Alignment draft methodology needs work – E3G, April 2023
- Article: Priorities for the World Bank Evolution Roadmap_ Volume II, January 2024
- Article: A roadmap for World Bank Group evolution – E3G, December 2022
- E3G Public Bank Climate Tracker Matrix
Project relations
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