World Bank abandons climate funding targets

This decision comes despite the bank exceeding its own 2025 financial year goals with 48% of funding, equivalent to about N$838 billion, allocated to climate initiatives. The World Bank states it is not reducing climate funding but is extending its Climate Change Action Plan CCAP to focus on outcomes rather than inputs, aiming to prioritize the measurable impact of projects on greenhouse gas emissions and resilience. This change follows discussions at the World Bank spring meetings where US treasury secretary Scott Bessent argued that climate targets distracted the bank from its core mission of development and poverty reduction.

The US, supported by Russia and Saudi Arabia, overrode opposition from nearly 100 nations, including China. More than 80 civil society organizations, including five operating in Namibia, have since sent a letter to World Bank Group president Ajay Banga and managing director Paschal Donohoe, accusing management of breaking past promises and demanding a one-year extension of the 2021-2025 CCAP to allow for transparent public consultations on a new five-year plan.