The amount for funding climate action, is estimated at an amount of about $125 billion.
This amount was organized by various global financiers, including the African Development Bank, Asian Development Bank, Asian Infrastructure Investment Bank, Council of Europe Development Bank, European Bank for Reconstruction and Development, Inter-American Development Bank, Islamic Development Bank, New Development Bank and the World Bank Group.
This is mentioned in a newly published Multilateral development banks (MDB) report, on Climate Finance.
Of the total amount, about $74.7 billion, was allocated to low- and middle-income economies.
Speaking about the newly-released report, Anthony Nyong, African Development Bank’s Director for Climate Change and Green Growth, said, “the Bank has increased its climate finance from 9 percent in 2016 to 55 percent in 2023, mobilising a total of $5.8 billion in 2023, the highest in the Bank’s history.”
Nyong also said the Bank has continued to address the pressing adaptation finance needs of its regional member countries, allocating about 53 percent of its climate financing in 2023 to adaptation, and setting a positive example.
Sixty-seven percent of the total amount, went to finance climate mitigation and about 33% was directed towards climate adaptation.
Nyong said given the need and urgency of climate adaptation finance, particularly in climate vulnerable low-income countries, these numbers demonstrate positive steps, but remain well below what is required.
The African Development Bank projects between about $166 billion and $260 billion, is required for adaptation only, between 2020 – 2030.
The Joint Report on Multilateral Development Banks’ Climate Finance is an annual publication incorporating MDBs’ climate financing figures, along with a clear explanation of the methodologies for tracking this financing.
The joint report, alongside the African Development Bank’s publication of climate finance statistics, aims to monitor progress towards their joint climate finance targets set following COP21, and the ambitious pledges for the period beyond 2020.