The International Monetary Fund (IMF) and the World Bank Group announced on Friday that they have intensified their joint efforts to address climate change through an enhanced framework aimed at helping countries scale up their climate actions.
“This collaboration will provide critical support for countries’ climate strategies—through an integrated, country-led approach to policy reforms and climate investments,” the institutions said in a statement. “Within their respective mandates, the World Bank Group and the IMF will leverage their analytics, technical assistance, financing, and policy expertise to enhance country-driven reform programs.”
The framework includes three key principles:
- Identifying each country’s climate challenges and the priority policy reforms needed to address them.
- Collaborating with other Multilateral Development Banks and development partners to help countries implement these reforms through technical assistance and financing.
- Establishing country-led platforms designed to mobilize additional climate finance, including from the private sector.
The World Bank Group will allocate 45% of its annual financing to climate change adaptation and mitigation by 2025, with goals to bring renewable energy to 250 million people in Africa by 2030 and expand its crisis toolkit to support those on the front lines of the climate crisis.
Meanwhile, the IMF will support countries in building resilience to climate change through its Resilience and Sustainability Trust, funded by contributions from 23 countries.
—Agencies
