Multilateral development banks (MDBs) raised a record $163 billion in climate finance during 2025 to support low- and middle-income countries, a new report has revealed.
According to the Joint Summary Report on Multilateral Development Banks’ Climate Finance, climate finance by MDBs in low- and middle-income countries rose by more than a fifth (21%) compared to the previous year, to an all-time high of $103 billion, while climate finance across all countries rose by 19%.
Adaptation finance in low- and middle-income economies rose by close to a third (31%) to $35 billion, while mitigation finance rose 16% to $68 billion, the data showed.
In high-income economies, meanwhile, MDB climate finance also remained ‘substantial’, the data showed, either meeting or exceeding 2030 projections five years in advance. Some $53 billion supported mitigation activities and $7 billion was allocated to adaptation, while private finance mobilisation in these countries reached $80 billion.
European Investment Bank
In a statement, the European Investment Bank (EIB) reported that it raised $52 billion in climate finance across high-income economies during 2025, a new record, alongside $4.6 billion through EIB Global for projects in low- and middle-income countries. The bank also mobilised $58 billion in private climate finance globally during the year.
“These results show that multilateral development banks are delivering at scale and accelerating support where it is most needed,” commented EIB vice-president Ambroise Fayolle. “By mobilising public and private investment, we are helping clients worldwide invest in resilience, energy independence and sustainable growth.”
Climate finance
According to the report, climate finance provided by MDBs in low- and middle-income countries has doubled over the past five years.
At COP29, which took place in Baku in 2024, MDBs set out their ambition to providing $120 billion annually in climate finance for these economies by 2030, including $42 billion for adaptation, while mobilising an additional $65 billion each year from the private sector.
The report combines data from ten MDBs, including the European Investment Bank, World Bank Group, Asian Development Bank, African Development Bank, European Bank for Reconstruction and Development, Asian Infrastructure Investment Bank, Inter-American Development Bank Group, Islamic Development Bank, New Development Bank and the Council of Europe Development Bank. Read more here.
