16 January - Mobilising finance and building markets for climate-compatible infrastructure the role of National Development Banks - presentation

1. Mobilising finance and building markets for
climate-compatible infrastructure: The role of
National Development Banks
OECD Development Co-operation Directorate
16 January 2019, OECD PF4SD Week

2. Strengths of NDBs in supporting climate-compatible
infrastructure
Value added
of national
development
banks
Well
established
financers of
infrastructure
Support
policy reform
and build
markets
Trusted actor
in national
context
Provide
finance in
local currency
Could
potentially
mobilise
more capital

3. DBSA and BNDES’ green finance in 2017 – key facts
Renewable
energy and
energy efficiency
- 56%
Forest management - 5%
Water & wastewater
management - 4%
Solid waste
management - 1%
Hydropower (above
30MW) - 3%
Agriculture - 8%
Transport - 23%
Share of green
finance in
disbursements,
2017
Green,
22%
Non-
green,
78%
Green finance
(disbursements)
2017
Share of green
finance in new
commitments,
2017
Renewable
energy and
energy
efficiency
3%
Water &
wastewater
management
25%
Transport
72%
Green finance
(commitments)
2017
Green, 45%
Non-green,
55%
BNDES DBSA
Source: Authors, based on annual reports and data provided by BNDES and DBSA

4. What will it take to harness the potential of NDBs?
Transitioning from ‘financer’ of infrastructure
to ‘mobiliser’ of new investors and sources of
finance
Support from governments and the
international community
Clear mandates, strategies and targets,
and tools in support of climate action

5. Mobilising finance and building markets for climate-
compatible infrastructure: The role of National
Development Banks
Discussants
• Alvino Windschutt-Prins, Investment Partnerships, Development Bank of
Southern Africa
• Julia Prescot, Chief Strategy Officer, Meridiam
• Thomas Eriksson, Deputy Director, Donor Co-financing, EBRD
• Emmanuelle Riedel, Head Access to Finance & Structured Finance, AFD
• Harald Hirschhofer, Senior Advisor, TCX Investment Management Company
• Chris Clubb, Managing Director, Convergence