Recent Posts
Before Throwing Grant Money at Global Public Goods, Let’s Figure Out if We Know How to Pitch
March 14, 2023The World Bank’s Evolution Roadmap suggests the institution could provide more grants and subsidies to activities that support the provision of global public goods (GPGs), particularly in richer developing countries. Provision of those public goods is surely a priority: avoiding future pandemics and limiting climate change benefits everyone. At the same time, and especially in an environment where finance for international subsidies and grants is extremely limited, it is important that the mechanisms are efficient. That isn’t at all true of existing funding, and there is no agreed pathway to [...]
Concessional Finance for Addressing Climate Change: A System Ripe for Reform
March 14, 2023Climate financial intermediary funds (FIFs) represent one of the largest sources of multilateral grant and other concessional finance for climate, including for middle-income countries (MICs). Together, they have received more than $50 billion in cumulative grant funds from donors. They have collectively allocated $48 billion for projects and $2 billion in administrative overhead. In a new paper, we look at the structure, size, and performance of the three major climate FIFs: the Global Environment Facility Trust Fund (GEF TF), the Climate Investment Funds (CIF), and the Green Climate Fund (GCF). [...]
If You Want Clients to Borrow from the World Bank for Net Zero Investments, Make It Easier
March 9, 2023High-income countries trying to reach net-zero targets are confronting the fact that existing environmental regulations make it harder to build low-carbon infrastructure. Lobbying groups in the US, for example, are using regulatory tools to block geothermal, solar, and wind facilities. Providing subsidies and incentives for low carbon isn’t enough: revisiting, rewriting, and in some cases retiring these regulations is going to be a vital part of faster progress toward the green economy. The issue isn’t unique to high-income countries, and it is perhaps particularly important when it comes to climate [...]
The World Bank Must ‘Walk the Talk’ on Gender Equality
March 3, 2023Through the World Bank’s history and thirteen presidencies, not once has the institution been led by a woman. Last week, the Biden administration nominated Ajay Banga, former head of Mastercard, as a candidate to be the next World Bank president. I welcome President Biden’s choice, because Banga is an exciting and well-qualified candidate. As with any nominee, I hope the Bank’s shareholders will consider his full set of qualifications, background, and approach to development issues. Should he be elected, I look forward to continuing to work with staff under [...]