IDFC GREEN FINANCE MAPPING REPORT 2025

The IDFC Green Finance Mapping Report 2025 analyzes the 2024 green finance commitments of 23 member national and regional development banks. While total green finance decreased by 13% to $173 billion, the majority of members increased their individual commitments. The report highlights a continued dominance of mitigation finance, a rebound in adaptation finance, and a growing but still limited focus on biodiversity and other environmental objectives.

• IDFC members reported total green finance commitments of $173 billion in 2024, representing a 13% decrease from 2023. This decline was primarily driven by a few large institutions shifting investment priorities, though 14 of the 23 responding members actually increased their total green finance commitments.
• Climate finance accounted for 96% of total green finance in 2024, totaling $167 billion. Within this, mitigation finance dominated at $140 billion (84% of climate finance), while adaptation finance rose 64% from 2023 to reach $17 billion. Dual-objective finance, targeting both mitigation and adaptation, totaled $9 billion, a 15% decrease from 2023.
• Biodiversity finance reached $8 billion in 2024, with $5.6 billion invested at the climate-nature nexus and $2.3 billion solely targeting biodiversity. Water preservation was the largest sector for biodiversity finance, receiving $3 billion (33% of the total).
• Non-OECD-based institutions provided the majority of IDFC climate finance in 2024, totaling $115 billion (72% of the total), largely driven by the China Development Bank (CDB). In contrast, OECD-based institutions contributed $44 billion (28%).
• East Asia and the Pacific was the largest recipient of climate finance in 2024, receiving $100 billion (63% of the total), followed by Western Europe at $27 billion (17%) and Latin America and the Caribbean at $16 billion (10%).
• Loans remained the primary financial instrument for climate finance, accounting for $151 billion (94% of total climate finance). Concessional loans totaled $29 billion, representing approximately 20% of total financing in 2024, a decrease from 29% in 2023.
• Cumulative green finance commitments by IDFC members have exceeded $1.9 trillion since the 2015 Paris Agreement. Between 2019 and 2023, IDFC members provided over 40% of global public climate finance.
• The report identifies significant financing gaps in the AFOLU (agriculture, forestry, and other land use) and fisheries sector, which received only $980 million in mitigation commitments in 2024, representing just 0.7% of total mitigation commitments despite high mitigation potential.
• IDFC members are aligning with the Baku-to-Belém Roadmap to scale international climate finance to $1.3 trillion per year by 2035. Key actions include operationalizing Article 6 carbon market mechanisms, leveraging country platforms (such as South Africa's JETP), and advancing transformational finance.

APA

Climate Policy Initiative (2025). IDFC GREEN FINANCE MAPPING REPORT 2025. https://www.climatepolicyinitiative.org/wp-content/uploads/2025/11/IDFC-Green-Finance-Mapping-Report-2025-2.pdf

Chicago

Climate Policy Initiative. IDFC GREEN FINANCE MAPPING REPORT 2025. 2025. https://www.climatepolicyinitiative.org/wp-content/uploads/2025/11/IDFC-Green-Finance-Mapping-Report-2025-2.pdf.

Wikipedia

{{cite report |author=Climate Policy Initiative |title=IDFC GREEN FINANCE MAPPING REPORT 2025 |date=November 2025 |url=https://www.climatepolicyinitiative.org/wp-content/uploads/2025/11/IDFC-Green-Finance-Mapping-Report-2025-2.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{climatepolicyinitiative2025idfc, author = {{Climate Policy Initiative}}, title = {{IDFC GREEN FINANCE MAPPING REPORT 2025}}, institution = {Climate Policy Initiative}, year = {2025}, month = nov, url = {https://www.climatepolicyinitiative.org/wp-content/uploads/2025/11/IDFC-Green-Finance-Mapping-Report-2025-2.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }