AIIB Unveils Climate Action Plan, Reinforces Commitment to Tackle Climate Change

SHARM EL-SHEIKH, Egypt, Sept. 25, 2023 /CNW/ — The Asian Infrastructure Funding Financial institution (AIIB) has launched its inaugural Local weather Motion Plan (CAP), a milestone within the Financial institution’s ongoing dedication to combatting local weather change.

Designed to information AIIB’s local weather ambition from 2024-2030, the CAP brings collectively the rules governing the Financial institution’s local weather financing whereas figuring out essential motion areas that may steer AIIB’s investments in help of its Members. The doc is a press release of intent to AIIB’s Members and companions. The CAP is a compass for crafting local weather options and directing local weather financing. It’s a dynamic framework that may evolve to remain pertinent and impactful because the ramifications of local weather change intensify.

“The Local weather Motion Plan demonstrates AIIB’s ambition to mobilize our capital, capability and convening energy to assist our members of their efforts to handle local weather change,” mentioned AIIB President and Chair of the Board Jin Liqun. “AIIB stands by our members within the face of local weather challenges forward. We should work collectively to quickly scale back greenhouse gasoline emissions, strengthen resilience in opposition to the approaching wave of utmost climate occasions, and safeguard the pure capital that makes life on earth doable.”

The battle in opposition to local weather change shall be determined in Asia, an engine of worldwide financial development going through heightened vulnerability to local weather hazards. Contributing over 50 p.c of worldwide greenhouse gasoline emissions, Asia’s effectiveness in addressing its distinctive local weather challenges is of paramount significance to the sustainability of societies worldwide. Early motion affords the chance to bend the emission curve, help a simply transition and pave the trail towards low-carbon improvement whereas avoiding the legacy points skilled by developed economies.

AIIB’s CAP outlines 4 rules:

1. Assembly Differentiated Member Wants for a Simply Strategy on Local weather Finance: AIIB will tailor local weather options to particular person shopper wants and circumstances, recognizing the varied impacts of local weather change throughout Asia and the variations in Members’ revenue ranges, improvement pathways and capacities to handle local weather change.

2. Taking a Holistic Strategy: AIIB will concentrate on options that concurrently mitigate local weather change, construct resilience, improve adaptation and supply cobenefits for biodiversity and nature conservation. Viewing nature as infrastructure and integrating nature-based options into infrastructure design will improve local weather resilience.

3. Mobilizing Capital: Leveraging AIIB’s strong monetary place and strengthening financing partnerships to mobilize capital for local weather initiatives.

4. Facilitating Technological Innovation: Selling innovation for each mitigation and adaptation efforts.

AIIB has set formidable targets, committing to allocate a minimum of 50 p.c of its annual financing approvals as local weather finance by 2025. In 2022, the financial institution attained a 56-percent price. By the second quarter of 2023, the Financial institution had achieved a cumulative USD 11.75 billion in local weather finance and has financed 107 initiatives with local weather elements. In 2023, AIIB issued Asia’s first adaptation bond, demonstrating its dedication to local weather resilience. AIIB now aligns all new investments with the rules of the Paris Settlement as of July 1, 2023.

“This doc marks one of the various necessary steps we should collectively absorb our pursuit of a sustainable world free from local weather havoc and different pure disasters to the best extent doable. We’re transferring ahead on the suitable course, pushed by the understanding that our actions immediately will form the future of generations to return,” President Jin concluded.

To entry AIIB’s Local weather Motion Plan and be taught extra in regards to the Financial institution’s dedication to local weather motion, please go to right here.

About AIIB

The Asian Infrastructure Funding Financial institution (AIIB) is a multilateral improvement financial institution whose mission is financing the Infrastructure for Tomorrow—infrastructure with sustainability at its core. We started operations in Beijing in January 2016 and have since grown to 106 authorized members worldwide. We’re capitalized at USD100 billion and Triple-A-rated by the key worldwide credit standing companies. Collaborating with companions, AIIB meets purchasers’ wants by unlocking new capital and investing in infrastructure that’s inexperienced, technology-enabled and promotes regional connectivity.

SOURCE AIIB

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