Africa Sets Up Green Banks as Waits For Climate Finance - Bloomberg
Africa Sets Up Green Banks as Waits For Climate Finance - Bloomberg
Tired of Waiting for Climate Finance, Africa Sets Up Green Banks
- AfDB helps Rwanda to start lending from green bank in 2024
- Morocco, Egypt, Benin, Ivory Coast to get climate banks
Passengers ride motorbike taxis in Kigali, Rwanda Photographer: Luke Dray/Bloomberg
With promises of climate finance from the developed world having largely remained unfulfilled, African nations are now looking to fill the gap themselves.
Egypt, Morocco, Benin and Ivory Coast are setting up so-called green banks under the guidance of the African Development Bank, according to Audrey-Cynthia Yamadjako, the lender’s principal climate officer. Rwanda, which had already been in the process of establishing such an institution itself, will begin lending to climate projects in 2024.
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Tired of Waiting for Climate Finance, Africa Sets Up Green Banks
Related Knowledge Center: Climate economics
Climate change is now a driver of the world’s economy. The impact is profound:
- Catastrophic weather events — hurricanes, floods, droughts, high temperatures — are more frequent and more extreme. The cost can be measured in both the initial damage caused and the longer-term impact on the economy.
- Vulnerable communities are increasing climate-related investments, hardening infrastructure and taking other protective measures.
- Investment in carbon capture and storage technologies is increasingly rapidly.
- Governments are making investments and crafting regulations to reduce emissions of carbon dioxide and other greenhouse gases.
On top of all of this is the cost of uncertainty. As the Fourth National Climate Assessment, released in 2018 by the U.S. Global Change Research Program, says, “The assumption that current and future climate conditions will resemble the recent past is no longer valid.”