World Bank Increases Climate Financing by 10 Percent

The World Bank announced a record $42.6 billion in climate change financing for the last fiscal year, marking a 10 percent increase from the previous year. This move is part of new president Ajay Banga’s commitment to reform the institution and strengthen its focus on climate change.

The Bank had pledged to increase the share of its annual financing dedicated to climate change adaptation from 35 percent to 45 percent by fiscal 2025. In the most recent fiscal year, the World Bank came close to that goal, with 44 percent of its total financing of $97 billion linked to climate initiatives.

This funding supports poverty alleviation efforts, investment in clean energy, resilient communities, and stronger economies. The largest contributors were the International Development Association (IDA) and the International Bank for Reconstruction and Development (IBRD), which provided $31 billion.