World Bank climate finance increases by 10% to record $42.6 bn this year

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🗞️ Driving the news: The World Bank Group announced a record $42.6 billion in climate finance for fiscal 2024, a 10% increase from the previous year, nearly meeting its goal of dedicating 45% of its financing to climate initiatives
• This increase comes amid rising demands for funds to support the global clean energy transition. Key projects included cyclone shelters in Bangladesh and electric bus systems in Egypt and Senegal

🔭 The context: The World Bank has been increasing its financial capacity for climate action, leveraging its balance sheet to provide an additional $10-$12 billion annually over the next decade
• Its climate financing is part of broader efforts to address both environmental and development challenges in emerging and developing nations

🌍 Why it matters for the planet: The World Bank's funding supports vital climate adaptation and mitigation projects, particularly in regions most vulnerable to climate impacts
• However, the funding falls short of the trillions needed annually for a full-scale energy transition in developing countries

⏭️ What's next: The World Bank aims to meet its target of allocating 45% of its total financing to climate projects by the end of fiscal 2025, with increased focus on adaptation and resilience in vulnerable areas

💬 One quote: “This is progress, but well short of the trillions of dollars needed annually to finance the clean energy transition,” — World Bank statement

📈 One stat: $42.6 billion in climate finance for fiscal 2024, a 10% increase from $38.6 billion in 2023

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