For the Second Year, IDFC Members Confirm their Large Share of Global Green Financing Flows

Today, the IDFC, the International Development Finance Club, which brings together 20 leading international, national and sub-regional development banks from across the world in a unique setting of cooperation, published for the second consecutive year its annual mapping of green finance.

The IDFC Green Finance Mapping Report 2013 compiles the activity of IDFC members in 2012 concerning the financing of mitigation to climate change operations, especially in the areas of renewable energy and energy efficiency, as well as adaptation to climate change and other measures for environmental protection. The IDFC report was prepared by energy and climate consultancy Ecofys.

In 2012 IDFC members made new commitments representing USD 95 billion in green finance. This represents an increase of USD 6 billion from 2011 to 2012, as reported in the previous year's green finance mapping report. The largest share of IDFC members' green financing, USD 80 billion, was invested in climate change activities with sustainable development co-benefits. IDFC members' climate finance includes USD 65 billion to clean energy and mitigation of greenhouse gas emissions activities, and USD 14 billion to adaptation to climate change.

The report also shows that USD 59 billion, or 62% of the total green finance for 2012 was channeled to developing countries. This includes finance flows from institutions based in OECD countries to non-OECD countries, which amounts to USD 15 billion, as well as USD 44 billion from institutions based in non-OECD countries. These figures show the commitment and importance that IDFC members give to assisting green and climate activities in developing countries.

The findings of the report illustrate the financial and technical capacities and experience of IDFC's development banks to mobilize, intermediate, deliver, and leverage large and increasing amounts of green and climate financing at the international and domestic levels. This makes IDFC members "well positioned as a vehicle to channel additional scaled-up climate finance, from international funds such as the soon to be operational Green Climate Fund" as indicated in the report.

IDFC's mapping report also contributes to a more defined international methodology and process for green and climate finance tracking, providing consistent and transparent information from a major group of development banks based in OECD and non-OECD countries, representing a considerable share of public financing.  In addition, it allows for the mainstreaming of the green and climate change agendas across IDFC members. "IDFC provides a proactive platform from which to stimulate the sharing of experiences and shape future discussions on further alignment of climate finance-tracking methodologies internationally" states the report.

The IDFC Green Finance Mapping Report 2013 is available on the IDFC website (www.idfc.org).