MANILA, PHILIPPINES – The Asian Development Bank (ADB) had committed a record amount of climate finance in 2023 to help its developing member countries (DMCs) in Asia and the Pacific cut greenhouse gas emissions and adapt to the impact of a warming planet.
ADB committed $9.8 billion in climate finance from its own resources last year — $5.5 billion for mitigation and $4.3 billion for adaptation — a more than 46% increase on its 2022 climate financing commitments.
The bank’s climate adaptation finance commitments in 2023 mean that ADB has provided over $10.4 billion in cumulative adaptation financing from 2019 to 2023 —surpassing its target of $9 billion in 2019–2024 a year early.
Adaptation financing is critical in Asia and the Pacific which isexperiencing more extreme heat, droughts, and heavy rains, but where investments in adaptation remain a fraction of what is needed. “Climate change threatens the future of all development. Last year was the hottest year on record and there were a swath of extreme, deadly climate impacts in our region,” said ADB President Masatsugu Asakawa.
“This crisis threatens energy and food security and creates fiscal challenges. As the climate bank for Asia and the Pacific, the ADB is deeply committed to helping our developing members de-fossilise their economies, progress along their climate transition pathways, and achieve net-zero goals. We must act together, with urgency and at scale.”
Asia and the Pacific originate more than half of global carbon dioxide emissions while also being acutely vulnerable to the impact of climate change. The region needs to invest an estimated $3.1 trillion per year in energy and transport assets alone to meet net zero by 2050—around 50% morethan current levels.
