The Scope for MDB Leverage and Innovation in Climate Finance
This note, prepared as background for the G20 submission, explores the potential for Multilateral Development Banks (MDBs) to increase the volume of climate financing by leveraging and intermediating resources, through two main avenues: leveraging...
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World Bank, Washington, DC
2017
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| Online Access: | http://hdl.handle.net/10986/27273 |
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okr-10986-272732017-12-13T14:44:04Z The Scope for MDB Leverage and Innovation in Climate Finance Basu, Priya Finneran, Lisa Bishop, Veronique Sundararaman, Trichur ADMINISTRATIVE COST ASSETS BALANCE SHEET BASIS POINTS BENEFICIARIES BOND BOND ISSUANCE BORROWER BORROWING CAPITAL ADEQUACY CAPITAL FLOWS CAPITAL INVESTMENTS CAPITAL MARKET CAPITAL REQUIREMENT CAPITAL STRUCTURES CARBON FINANCE CARBON MARKET CARBON TECHNOLOGIES CERTIFIED EMISSION REDUCTIONS CLEAN TECHNOLOGY CLIMATE CLIMATE CHANGE CLIMATE CHANGE MITIGATION CREDIT LOSSES CREDIT RATING CREDITS CREDITWORTHINESS CRISIS LENDING CROSS SUBSIDIES DEBT DEBT INVESTMENT DEBT ISSUANCE DEVELOPING COUNTRY DEVELOPMENT BANK DEVELOPMENT FINANCE DEVELOPMENT FINANCE INSTITUTION DISBURSEMENT DISSOLUTION DONOR FUNDING DONOR FUNDS EARNINGS ECONOMIES IN TRANSITION ECONOMIES OF SCALE ELECTRICITY EMERGING MARKETS EMISSION EMISSION REDUCTION ENERGY EFFICIENCY EQUITY FUNDING EQUITY INVESTMENTS EQUITY PARTICIPATION EQUITY RETURNS FINANCE CORPORATION FINANCES FINANCIAL ASSISTANCE FINANCIAL CAPACITY FINANCIAL CRISIS FINANCIAL INSTITUTIONS FINANCIAL INTERMEDIARY FINANCIAL PRODUCTS FINANCIAL VIABILITY FINANCING COSTS FINANCING FACILITY FINANCING NEEDS FINANCING REQUIREMENTS FISCAL CONSTRAINTS FLOW OF FUNDS FOREST INVESTMENT FORESTRY FORESTS FUNDING SOURCE GENERATION CAPACITY GLOBAL ECONOMY GLOBAL ENVIRONMENT FACILITY GOVERNANCE STRUCTURE GRANT FUNDING GREENHOUSE GREENHOUSE GAS GREENHOUSE GAS EMISSIONS HOUSEHOLDS IMMUNIZATION INSURANCE INTEREST RATES INTERNATIONAL DEVELOPMENT INTERNATIONAL FINANCE INVESTMENT BANK INVESTMENT FUND INVESTMENT INCOME INVESTMENT PLANS INVESTMENT RISK INVESTMENT VEHICLE KEY CHALLENGE LAND DEGRADATION LENDING LIMITS LENDING SPREAD LEVERAGE LOAN LOAN MATURITY LOAN REPAYMENTS LOW-CARBON MANDATE MARKET INTEREST RATES MINIMUM CAPITAL REQUIREMENT MULTILATERAL DEVELOPMENT BANKS OPERATING COSTS OUTREACH OUTSTANDING LOANS PLEDGES PORTFOLIO PORTFOLIO RISK PRINCIPAL REPAYMENTS PRIVATE FINANCE PRIVATE FINANCING PRIVATE INVESTMENT PUBLIC FINANCE RATING AGENCIES RECAPITALIZATION RECIPIENT COUNTRIES REGIONAL DEVELOPMENT BANKS RENEWABLE ENERGY REPAYMENTS RESERVES RETURN RISK CAPITAL RISK MITIGATION RISK PROFILE SAVINGS SHARE OF EQUITY SHAREHOLDER SILVER SUSTAINABLE FOREST SUSTAINABLE FOREST MANAGEMENT TRANCHES TRANSPORT TRUST FUND TRUSTEE WIND WITHDRAWAL This note, prepared as background for the G20 submission, explores the potential for Multilateral Development Banks (MDBs) to increase the volume of climate financing by leveraging and intermediating resources, through two main avenues: leveraging shareholder capital through the MDBs non-concessional windows, by raising debt from capital markets to finance climate investment; and mobilizing and 'pooling' concessional flows to support climate investment beyond the MDBs own balance sheets. The note is organized along these two lines, with the aim of providing some insights into the feasibility for MDBs to mobilize resources to leverage a significantly larger volume of climate financing assistance. The next section of this note provides information on how MDBs can support concessional flows to climate investments through pooling of external concessional flows beyond traditional balance-sheet capital. Leveraging shareholder capital and mobilizing and-pooling concessional flows are two potential avenues through which MDBs can leverage and intermediate resources to ultimately increase the volume of climate financing. The experience gained by the MDBs and their clients and donors from implementing these financing arrangements should provide helpful lessons for the development community as it considers how to develop the green climate fund and other future climate change initiatives. 2017-06-20T21:32:31Z 2017-06-20T21:32:31Z 2011-10-31 Working Paper http://hdl.handle.net/10986/27273 English en_US CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo World Bank World Bank, Washington, DC Publications & Research :: Working Paper Publications & Research |
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Open Data Bank |
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Open Knowledge Repository |
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World Bank |
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English English |
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ADMINISTRATIVE COST ASSETS BALANCE SHEET BASIS POINTS BENEFICIARIES BOND BOND ISSUANCE BORROWER BORROWING CAPITAL ADEQUACY CAPITAL FLOWS CAPITAL INVESTMENTS CAPITAL MARKET CAPITAL REQUIREMENT CAPITAL STRUCTURES CARBON FINANCE CARBON MARKET CARBON TECHNOLOGIES CERTIFIED EMISSION REDUCTIONS CLEAN TECHNOLOGY CLIMATE CLIMATE CHANGE CLIMATE CHANGE MITIGATION CREDIT LOSSES CREDIT RATING CREDITS CREDITWORTHINESS CRISIS LENDING CROSS SUBSIDIES DEBT DEBT INVESTMENT DEBT ISSUANCE DEVELOPING COUNTRY DEVELOPMENT BANK DEVELOPMENT FINANCE DEVELOPMENT FINANCE INSTITUTION DISBURSEMENT DISSOLUTION DONOR FUNDING DONOR FUNDS EARNINGS ECONOMIES IN TRANSITION ECONOMIES OF SCALE ELECTRICITY EMERGING MARKETS EMISSION EMISSION REDUCTION ENERGY EFFICIENCY EQUITY FUNDING EQUITY INVESTMENTS EQUITY PARTICIPATION EQUITY RETURNS FINANCE CORPORATION FINANCES FINANCIAL ASSISTANCE FINANCIAL CAPACITY FINANCIAL CRISIS FINANCIAL INSTITUTIONS FINANCIAL INTERMEDIARY FINANCIAL PRODUCTS FINANCIAL VIABILITY FINANCING COSTS FINANCING FACILITY FINANCING NEEDS FINANCING REQUIREMENTS FISCAL CONSTRAINTS FLOW OF FUNDS FOREST INVESTMENT FORESTRY FORESTS FUNDING SOURCE GENERATION CAPACITY GLOBAL ECONOMY GLOBAL ENVIRONMENT FACILITY GOVERNANCE STRUCTURE GRANT FUNDING GREENHOUSE GREENHOUSE GAS GREENHOUSE GAS EMISSIONS HOUSEHOLDS IMMUNIZATION INSURANCE INTEREST RATES INTERNATIONAL DEVELOPMENT INTERNATIONAL FINANCE INVESTMENT BANK INVESTMENT FUND INVESTMENT INCOME INVESTMENT PLANS INVESTMENT RISK INVESTMENT VEHICLE KEY CHALLENGE LAND DEGRADATION LENDING LIMITS LENDING SPREAD LEVERAGE LOAN LOAN MATURITY LOAN REPAYMENTS LOW-CARBON MANDATE MARKET INTEREST RATES MINIMUM CAPITAL REQUIREMENT MULTILATERAL DEVELOPMENT BANKS OPERATING COSTS OUTREACH OUTSTANDING LOANS PLEDGES PORTFOLIO PORTFOLIO RISK PRINCIPAL REPAYMENTS PRIVATE FINANCE PRIVATE FINANCING PRIVATE INVESTMENT PUBLIC FINANCE RATING AGENCIES RECAPITALIZATION RECIPIENT COUNTRIES REGIONAL DEVELOPMENT BANKS RENEWABLE ENERGY REPAYMENTS RESERVES RETURN RISK CAPITAL RISK MITIGATION RISK PROFILE SAVINGS SHARE OF EQUITY SHAREHOLDER SILVER SUSTAINABLE FOREST SUSTAINABLE FOREST MANAGEMENT TRANCHES TRANSPORT TRUST FUND TRUSTEE WIND WITHDRAWAL |
| spellingShingle |
ADMINISTRATIVE COST ASSETS BALANCE SHEET BASIS POINTS BENEFICIARIES BOND BOND ISSUANCE BORROWER BORROWING CAPITAL ADEQUACY CAPITAL FLOWS CAPITAL INVESTMENTS CAPITAL MARKET CAPITAL REQUIREMENT CAPITAL STRUCTURES CARBON FINANCE CARBON MARKET CARBON TECHNOLOGIES CERTIFIED EMISSION REDUCTIONS CLEAN TECHNOLOGY CLIMATE CLIMATE CHANGE CLIMATE CHANGE MITIGATION CREDIT LOSSES CREDIT RATING CREDITS CREDITWORTHINESS CRISIS LENDING CROSS SUBSIDIES DEBT DEBT INVESTMENT DEBT ISSUANCE DEVELOPING COUNTRY DEVELOPMENT BANK DEVELOPMENT FINANCE DEVELOPMENT FINANCE INSTITUTION DISBURSEMENT DISSOLUTION DONOR FUNDING DONOR FUNDS EARNINGS ECONOMIES IN TRANSITION ECONOMIES OF SCALE ELECTRICITY EMERGING MARKETS EMISSION EMISSION REDUCTION ENERGY EFFICIENCY EQUITY FUNDING EQUITY INVESTMENTS EQUITY PARTICIPATION EQUITY RETURNS FINANCE CORPORATION FINANCES FINANCIAL ASSISTANCE FINANCIAL CAPACITY FINANCIAL CRISIS FINANCIAL INSTITUTIONS FINANCIAL INTERMEDIARY FINANCIAL PRODUCTS FINANCIAL VIABILITY FINANCING COSTS FINANCING FACILITY FINANCING NEEDS FINANCING REQUIREMENTS FISCAL CONSTRAINTS FLOW OF FUNDS FOREST INVESTMENT FORESTRY FORESTS FUNDING SOURCE GENERATION CAPACITY GLOBAL ECONOMY GLOBAL ENVIRONMENT FACILITY GOVERNANCE STRUCTURE GRANT FUNDING GREENHOUSE GREENHOUSE GAS GREENHOUSE GAS EMISSIONS HOUSEHOLDS IMMUNIZATION INSURANCE INTEREST RATES INTERNATIONAL DEVELOPMENT INTERNATIONAL FINANCE INVESTMENT BANK INVESTMENT FUND INVESTMENT INCOME INVESTMENT PLANS INVESTMENT RISK INVESTMENT VEHICLE KEY CHALLENGE LAND DEGRADATION LENDING LIMITS LENDING SPREAD LEVERAGE LOAN LOAN MATURITY LOAN REPAYMENTS LOW-CARBON MANDATE MARKET INTEREST RATES MINIMUM CAPITAL REQUIREMENT MULTILATERAL DEVELOPMENT BANKS OPERATING COSTS OUTREACH OUTSTANDING LOANS PLEDGES PORTFOLIO PORTFOLIO RISK PRINCIPAL REPAYMENTS PRIVATE FINANCE PRIVATE FINANCING PRIVATE INVESTMENT PUBLIC FINANCE RATING AGENCIES RECAPITALIZATION RECIPIENT COUNTRIES REGIONAL DEVELOPMENT BANKS RENEWABLE ENERGY REPAYMENTS RESERVES RETURN RISK CAPITAL RISK MITIGATION RISK PROFILE SAVINGS SHARE OF EQUITY SHAREHOLDER SILVER SUSTAINABLE FOREST SUSTAINABLE FOREST MANAGEMENT TRANCHES TRANSPORT TRUST FUND TRUSTEE WIND WITHDRAWAL Basu, Priya Finneran, Lisa Bishop, Veronique Sundararaman, Trichur The Scope for MDB Leverage and Innovation in Climate Finance |
| description |
This note, prepared as background for
the G20 submission, explores the potential for Multilateral
Development Banks (MDBs) to increase the volume of climate
financing by leveraging and intermediating resources,
through two main avenues: leveraging shareholder capital
through the MDBs non-concessional windows, by raising debt
from capital markets to finance climate investment; and
mobilizing and 'pooling' concessional flows to
support climate investment beyond the MDBs own balance
sheets. The note is organized along these two lines, with
the aim of providing some insights into the feasibility for
MDBs to mobilize resources to leverage a significantly
larger volume of climate financing assistance. The next
section of this note provides information on how MDBs can
support concessional flows to climate investments through
pooling of external concessional flows beyond traditional
balance-sheet capital. Leveraging shareholder capital and
mobilizing and-pooling concessional flows are two potential
avenues through which MDBs can leverage and intermediate
resources to ultimately increase the volume of climate
financing. The experience gained by the MDBs and their
clients and donors from implementing these financing
arrangements should provide helpful lessons for the
development community as it considers how to develop the
green climate fund and other future climate change initiatives. |
| format |
Working Paper |
| author |
Basu, Priya Finneran, Lisa Bishop, Veronique Sundararaman, Trichur |
| author_facet |
Basu, Priya Finneran, Lisa Bishop, Veronique Sundararaman, Trichur |
| author_sort |
Basu, Priya |
| title |
The Scope for MDB Leverage and Innovation in Climate Finance |
| title_short |
The Scope for MDB Leverage and Innovation in Climate Finance |
| title_full |
The Scope for MDB Leverage and Innovation in Climate Finance |
| title_fullStr |
The Scope for MDB Leverage and Innovation in Climate Finance |
| title_full_unstemmed |
The Scope for MDB Leverage and Innovation in Climate Finance |
| title_sort |
scope for mdb leverage and innovation in climate finance |
| publisher |
World Bank, Washington, DC |
| publishDate |
2017 |
| url |
http://hdl.handle.net/10986/27273 |
| _version_ |
1610830565521489920 |