Holding Course, Missing Speed

The report finds that while CETP signatories have significantly reduced international public finance for fossil fuels, this has not been matched by a corresponding increase in clean energy support. It highlights ongoing policy violations by several high-income countries and the risk of backsliding due to political shifts, particularly the United States' exit from the partnership in February 2025. The authors recommend a joint quantitative target of at least USD 42 billion per year for clean energy in emerging markets and developing economies by 2026.

• International public finance for fossil fuels among CETP signatories has seen a strong downward trend, with 2024 overseas financing decreasing by 71% to 78% (a drop of USD 11.3 billion to USD 16.3 billion) compared to the 2019–2021 annual average.
• The reduction in fossil fuel funding has not been effectively redirected into clean energy; in 2024, CETP countries increased clean energy financial support by only USD 3.2 billion relative to the 2019–2021 average, meaning less than 20% of the removed fossil fuel funding was shifted to clean energy.
• Several signatories violated their CETP commitments between 2023 and 2024, approving USD 10.9 billion in new fossil fuel financing. Italy was the largest violator, providing over USD 3.7 billion, followed by the United States with USD 3.2 billion, Germany with USD 1.5 billion, and Switzerland with approximately USD 1.4 billion.
• Export Credit Agencies (ECAs) are the primary drivers of remaining fossil fuel support, accounting for 72% of the approximately USD 4.7 billion in remaining fossil fuel support from CETP governments in 2024.
• Clean energy finance is disproportionately flowing to high-income and upper-middle-income countries. Low-income economies received only a small portion of financing, primarily from Development Finance Institutions (DFIs).
• The United States exited the CETP in February 2025 under the Trump administration, which has since reversed energy policies by prioritizing oil, coal, and fossil gas production and lifting restrictions on coal finance via the EXIM bank.
• Japan and the Republic of Korea are identified as major laggards. Japan provided at least USD 7.8 billion in fossil fuel finance since the end of 2022, while the Republic of Korea provided at least USD 6.3 billion in 2023 and 2024 combined.
• The report recommends that CETP members adopt a joint quantitative target by the end of 2026 to provide no less than USD 42 billion per year in international public finance for clean energy in emerging markets and developing economies (EMDEs).

APA

Jones, N., Urazova, I., O’Manique, C., McGibbon, A., & DeAngelis, K. (2025). Holding Course, Missing Speed. International Institute for Sustainable Development. https://www.iisd.org/system/files/2025-09/ending-fossil-fuel-finance-unlocking-clean-energy.pdf

Chicago

Jones, Natalie, Indira Urazova, Claire O’Manique, Adam McGibbon, and Kate DeAngelis. Holding Course, Missing Speed. International Institute for Sustainable Development, 2025. https://www.iisd.org/system/files/2025-09/ending-fossil-fuel-finance-unlocking-clean-energy.pdf.

Wikipedia

{{cite report |last1=Jones |first1=Natalie |last2=Urazova |first2=Indira |last3=O’Manique |first3=Claire |last4=McGibbon |first4=Adam |last5=DeAngelis |first5=Kate |title=Holding Course, Missing Speed |publisher=International Institute for Sustainable Development |date=September 2025 |url=https://www.iisd.org/system/files/2025-09/ending-fossil-fuel-finance-unlocking-clean-energy.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{jones2025holding, author = {Jones, Natalie and Urazova, Indira and O’Manique, Claire and McGibbon, Adam and DeAngelis, Kate}, title = {{Holding Course, Missing Speed}}, institution = {International Institute for Sustainable Development}, year = {2025}, month = sep, url = {https://www.iisd.org/system/files/2025-09/ending-fossil-fuel-finance-unlocking-clean-energy.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }