Focus Area

Addressing Climate Challenges in Key Sectors

IFC is accelerating the transition to low-carbon, resilient and inclusive growth in emerging markets.  With unparalleled sectoral experience and geographic reach coupled with a deep understanding of developing economies, IFC is working to support its clients in their ambitions by catalyzing the private sector and mobilizing private capital for climate action.

IFC is well positioned to build pipelines of investible opportunities, mobilize the private capital these opportunities need, and create climate markets at scale.  Our innovations are designed to help our clients and partners grow their decarbonization and resilience-building investments and achieve greater impact that creates a world free of poverty on a livable planet.

Workers at a produce sorting facility.

Agriculture, Food, Water and Land

IFC is scaling up practices that address the soaring demand for food security on a livable planet. We are also the leading investor in the water sector, partnering with public and private sector stakeholders to support the development of water infrastructure that meets the needs of the growing population.

Areial view of a modern city.

Cities

IFC has forged strategic partnerships with cities around the world, bringing in the private sector to address pressing urban and climate needs, helping municipal authorities build resilient, sustainable cities. Our partnership platforms span water, waste, transport, and sustainable cooling, targeting bankable climate solutions.

Energy efficient bulbs.

Energy

IFC is supporting the expansion of affordable, reliable, and sustainable electricity to power growth and opportunity in emerging markets. IFC , finances energy efficiency, conservation, and carbon reduction and works to create private sector opportunities in the energy sector.

A green building in Vietnam.

The Financial System

IFC builds financial institutions’ capacity for climate investment and managing climate risk, setting global standards for labeled bonds, creating pipelines of investable projects, sharing investment risks with public and multilateral institutions and creating investment mechanisms for institutional investors.

Garment factory in Bangladesh

Manufacturing

More than 80% of IFC’s manufacturing investments were targeted at decarbonization in the last fiscal year. IFC is helping to reinvent industrial processes, helping companies in hard-to-abate sectors decarbonize their operations through energy efficiency, renewable and alternative energy, and new technologies.

A truck driver accessing an electronic entry point.

Transport

IFC supports transportation infrastructure projects in emerging markets through investment and advisory services, including public-private partnerships (PPPs). We focus on projects that reduce transportation costs, relieve bottlenecks, facilitate international trade, and create jobs. IFC also provides financing to support climate-friendly transport systems, encouraging a modal shift from high-carbon to low-carbon options.

Last updated: October 2025