Concerns about the World Bank
Climate funding should be direct and free of conditions, and should not interfere with the national sovereignty or self-determination of the most affected communities and groups – for this reason there are many concerns about any involvement of the World Bank in climate finance.
Climate finance represents trillions of dollars owed as climate debt to developing countries to build resiliency to climate change and for a rapid and just transition to a renewable energy future.
The Green Climate Fund (GCF)
Governments are currently negotiating how to channel and manage this climate finance. There is near universal support for the idea of the Green Climate Fund, but any role for institutions like the World Bank are highly controversial.
The United States and other developed countries want the World Bank to play a central role. They cite its management of large sums of money for for development and its global reach. The World Bank says it remains neutral but it has ramped up its climate programs – including opening a suite of Climate Investment Funds and expanding its carbon-trading portfolio. It also continues to maintain a portfolio that includes emission-intensive projects such as the Eskom Medupi coal power plant in South Africa
Many developing countries, policy experts and climate justice activists say the World Bank cannot be trusted with climate finance because it does not have the interests of developing countries, communities or the planet at its core.
- No role in decision-making for the World Bank on the global climate finance regime.
- No role in the management or governance of the Green Climate Fund for the World Bank.
- Funds flowing through the World Bank should not count toward the financial obligations of developed countries under the UNFCCC.
- The World Bank must immediately stop funding fossil fuel and large hydro projects.
- The World Bank must stop pushing carbon markets as a part of the climate finance solution.
The latest updates on the world bank can be found here. For further information please see:
- Climate Justice Brief on the World Bank ( Esp ) ( Arabic )
- Why the World Bank is Ill-Fitted for Climate Finance - Eurodad (2010)
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