The 27th U.N. Climate Change Conference of the Parties (COP27) is taking place in Sharm El-Sheikh, Egypt from November 6th to 18th, 2022. Egypt’s vision as COP27 President is to move from negotiations and planning towards “full, timely, inclusive, and at-scale action on the ground”.
Guided by the World Bank Group (WBG) Climate Change Action Plan, the WBG will exchange ideas and solutions at COP27 that will help countries achieve climate and development goals together.
At COP27, IFC will showcase breakthrough private sector solutions and focus on how to accelerate the development of bankable opportunities for decarbonization and climate change adaptation. In Sharm El-Sheikh, IFC will concentrate on 3 key themes: Adaptation and Resilience, Mobilizing Climate Finance, and Energy Access and Decarbonization.
Spotlight on Climate Action
IFC's work in Climate
As part of the World Bank Group’s Climate Change Action Plan for 2021-2025, IFC is focusing its efforts on five key systems responsible for over 90% of global greenhouse gas emissions: energy; agriculture, food, water and land; cities; transport; and manufacturing. These systems are the backbone of our economies, so making them more sustainable, resilient and inclusive is critical. To marshal the capital needed for decarbonizing these sectors, IFC is also developing innovative green finance solutions that will increase the size of the market.
IFC supports the growth of proven clean energy solutions like onshore wind and solar energy generation in emerging markets, as well as the deployment of more nascent transformative technologies such as offshore wind, battery storage, distributed generation, off-grid solar, and green hydrogen.
Agriculture, Food, Water and Land
Recognizing the importance of climate-smart agriculture, IFC is working with our private sector clients to help improve productivity, and reduce inputs and post-harvest losses — which account for a significant portion of greenhouse gas emissions. Importantly, IFC is also working to expand private sector solutions to protect biodiversity and ecosystems, and promote adaptation.
IFC helps municipal authorities build climate-resilient, sustainable cities. Through our Cities Initiative — which combines investment and advice — IFC develops long-term partnerships with municipalities, subnational companies, and private-sector solutions providers. We mobilize commercial financing and connect cities with capital markets, helping diversify cities’ investor base. IFC also has several decarbonization solutions for cities such as: APEX to help cities develop Green City Action Plans with climate-friendly investment opportunities; EDGE certification to provide cost-efficient ways to reduce the resource intensity of buildings; and the Building Resilience Index (BRI) which provides a web-based hazard mapping and resilience assessment framework for buildings.
IFC supports transportation infrastructure projects in emerging markets that aim to reduce transportation costs, relieve bottlenecks, facilitate international trade, and create jobs. IFC provides investments that support climate-friendly transport systems, encouraging a modal shift from high-carbon to low-carbon options — especially in shipping, railways, logistics, and urban transport. IFC invests in retrofit projects that enhance efficiencies through technology such as temperature-controlled logistics, green shipping, and green buildings.
IFC is working with corporate clients in manufacturing to help them decarbonize, through circular economy interventions, use of renewable energy, and other innovations. We will increasingly work to decarbonize heavy industries like steel, chemicals, and cement where the lion’s share of greenhouse gas emissions is found.
IFC works with governments, the private sector, financial institutions and partners to set standards for green banking, expand the range of financial instruments and channel global capital flows to opportunities in emerging markets. IFC is a leader in the green bond market, and issues a range of products, from blue and sustainability-linked loans to approaches for greening equity investments.
IFC took an active role in COP26 at Glasgow in 2021, announcing a portfolio of emerging-market loans aligned with the Paris Agreement, and a new fund to mobilize private investment into emerging market sustainable bonds that support a green, resilient, and inclusive recovery.