The Asian Development Bank (ADB) and the Green Climate Fund (GCF) have agreed to partner toward a “green recovery” for members confronting the harsh economic impact of the coronavirus disease (COVID-19) pandemic.
ADB President Masatsugu Asakawa met yesterday with GCF Executive Director Yannick Glemarec to explore opportunities for a pathway of low-carbon and climate-resilient development for ADB members in Asia and the Pacific hit hard by the health crisis, said an ADB press release.
They agreed to strengthen collaboration on non-sovereign operations while ensuring GCF’s processes are as flexible as possible to foster at-scale financing.
“ADB is committed to helping our members build a ‘green recovery’, and we stand ready to broaden our collaboration with development partners like GCF,” said Asakawa.
“The decisions we make now will create systems, institutions, and assets, and define development directions that will last well into the future,” he added.
Under Strategy 2030, ADB will ensure that 75 percent of its committed projects will support climate change mitigation and adaptation by 2030.
Climate finance from ADB’s own resources will reach $80 billion cumulatively from 2019 to 2030. In 2019, ADB committed more than $6.5 billion in climate financing. Concessional financing from partners will also be crucial for helping ADB’s members meet their climate goals.
GCF has approved total funding of $473 million for 10 ADB projects—making ADB the fourth-largest accredited entity of GCF—and Asakawa and Glemarec discussed potential areas for leveraging GCF co-financing in the near term for the benefit of ADB’s developing members.
ADB’s support for developing members to cope with, and recover from, the impact of COVID-19 includes an enhanced support package of $20 billion, announced on 13 April.