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The 17th edition of the Banking on Climate Chaos report finds that the world's largest banks committed $906 billion to fossil fuel companies in 2025, an 8% increase from 2024. Financing for fossil fuel expansion rose by over 27% to $508 billion. The report highlights a high concentration of finance, with a 'Dirty Dozen' of banks providing nearly 39% of global fossil deals. It also notes a trend of policy backsliding, where banks are weakening climate commitments and abandoning net-zero targets, particularly in the US. The report argues that this financing amplifies energy instability and inequality, especially during geopolitical crises like the 2026 US-Israel war on Iran.

The document argues that legal recognition of rivers as entities with personhood rights is a catalyst for transforming environmental governance, but it is insufficient on its own to ensure ecological or social outcomes. Drawing on cases from Bangladesh and Colombia, the brief identifies critical implementation gaps, including a lack of operational clarity, fragmented governance, and the marginalization of local community knowledge. It recommends that effective river governance requires clearly defined legal obligations, coordinated institutional leadership, inclusive multi-stakeholder participation, and integrated social and ecological health indicators, all supported by long-term financial resourcing.

The paper assesses climate finance provided by 14 non-Annex II countries, finding they contributed $102.38 billion between 2013 and 2023. While China is the largest contributor, other nations show a strong preference for adaptation. The study emphasizes the need to standardize this voluntary data to support the Baku to Belém (B2B) Roadmap and a multipolar financial system.

The report analyzes Burundi's development prospects, highlighting a 'Current Path' characterized by slow growth, high poverty, and governance challenges. It models eight sectoral scenarios—Governance, Demographics and Health, Education, Large Infrastructure and Leapfrogging, Agriculture, Manufacturing, AfCFTA, and Financial Flows—to demonstrate how targeted interventions could improve GDP per capita and reduce extreme poverty. A 'Combined scenario' suggests that an integrated policy push could dramatically increase GDP to US$17.2 billion by 2043 and reduce the extreme poverty rate by 49 percentage points compared to the Current Path, though this would result in higher carbon emissions.

The Council on Strategic Risks (CSR) analyzes the FY27 US Presidential Budget Request, noting that while biodefense is stated as a priority, general programmatic cuts and agency reorganizations have restricted key programs and reduced budgetary transparency. While the Department of Defense saw a record topline increase to $1.45 trillion, biodefense funding did not increase proportionally. Significant cuts were observed in the Department of State's Global Health Programs and the Department of Agriculture's crop and livestock protection. Conversely, the Administration for Strategic Preparedness and Response (ASPR) saw a massive increase in its "Pandemic Preparedness and Biodefense" program to $327 million to support pharmaceutical supply chain resilience. The Department of Homeland Security (DHS) improved transparency by detailing the transfer of Countering Weapons of Mass Destruction (CWMD) functions to the Cybersecurity and Infrastructure Security Agency (CISA).

Africa has seen infrastructure improvements, particularly in sub-Saharan Africa, but continues to face a substantial deficit driven by population growth and urbanisation. Financing is characterized by a tension between concessional Western multilateral loans and more commercial, opaque Chinese lending via the Belt and Road Initiative. Recent efforts, such as the PIDA framework and the 2025 Africa Infrastructure Financing Summit, aim to align investment with pan-African priorities and global sustainability goals, including a transition toward renewables and electric mobility.

The Canadian Climate Institute argues that the memorandum of understanding between Alberta and Canada fails to effectively address the dysfunction of Alberta's industrial carbon pricing system. While the agreement introduces a price floor and hedging contracts to stabilize carbon credit markets, the Institute claims the price levels—$60 per tonne by 2030 and $110 by 2040—are too low to drive necessary investments or meet 2050 net-zero targets. Furthermore, the document warns that this agreement sets a low national benchmark that may encourage other provinces to weaken their own carbon pricing systems, potentially hindering Canada's overall climate policy effectiveness.

The Alberta-Canada Memorandum of Understanding (MOU) implementation agreement is criticized for cementing low stringency in industrial carbon pricing, which the author argues will limit emissions reductions and investment in low-carbon projects. While the MOU introduces a minimum market price and joint carbon contracts for difference to stabilize credit markets, the price floor of $60 per tonne by 2030 and $110 by 2040 is deemed too low to meet Canada's net-zero 2050 commitment. The author contends that this agreement sets a low de facto minimum standard for other provinces and that strengthening the system to $130 per tonne would have a negligible impact on oil sands competitiveness, adding less than 50 cents per barrel to the cost of Western Canada Select crude oil.

The document argues that policy incoherence is driven not by poor coordination, but by power asymmetries, vested interests, and the prioritization of economic growth over social and environmental goals. Based on research in nine countries, it finds that fossil-fuel interests consistently drive incoherence and that vulnerable groups disproportionately bear the resulting burdens. It calls for a post-2030 framework that moves beyond 'synergies' to address distributional consequences and cross-border spillovers.

The US-Israel invasion of Iran in February 2026 has accelerated the global transition to clean energy as 23 countries announced new measures to reduce fossil fuel vulnerability. Clean energy ETFs have outperformed oil and gas ETFs in early May 2026, with renewable energy funds attracting over USD 3 billion in April 2026. Investor sentiment is shifting, with a rise in those ranking renewables top for one-year returns (14% vs 9% in 2025) and a decline in the perceived necessity of natural gas for the transition, particularly in Asia. While the cost of capital remains significantly higher in emerging markets (12.95%) compared to Europe (5.02%), geopolitical instability is prompting a reassessment of risk premiums in favor of domestic renewables.

The study finds that the draft CRCF methodology for carbon farming is not fit for purpose, setting a lower integrity standard than the PACM and risking the issuance of units not backed by actual emission reductions. Key failures include insufficient additionality and permanence requirements, the omission of leakage and indirect land-use change (ILUC) risks, and a lack of systematic safeguards. The authors recommend revising the methodology to align with international benchmarks and prohibiting the use of CRCF carbon farming units for offsetting purposes.

The Clean Air Task Force (CATF) reports on the 2026 Virginia legislative session, highlighting progress in diversifying the electricity portfolio, modernizing procurement, and improving infrastructure siting. Key achievements include the state's planned reentry into the Regional Greenhouse Gas Initiative (RGGI) by July 1, 2026, and the creation of a Chief Energy Officer position. CATF argues that while these targeted improvements are constructive, Virginia must further modernize its Clean Economy Act (VCEA) to better integrate clean firm resources and manage rising electricity demand from data centers and manufacturing.

The study evaluates 23 CDR pathways for Massachusetts, concluding that while several are suitable for deployment and R&D leadership, in-state CDR alone cannot meet the projected 14 million tCO2e annual removal need by 2050. The report suggests that achieving the Net Zero 2050 mandate will require a combination of additional emissions reductions, regional coordination, and out-of-state CDR procurement.

The report finds that methane emissions from anaerobic digestion (AD) systems typically range from 0.5% to 6% of total production, with some plants reaching 41%, which is significantly higher than average levels in the oil and gas industry. Current regulatory frameworks in countries like France and Germany often prioritize worker safety over methane mitigation, and the United States lacks dedicated federal or state regulations for AD methane emissions. The report emphasizes that digestate storage is frequently the largest emission source, particularly in the U.S. where lagoons are often uncovered. It recommends implementing robust, facility-level MMRV, mandatory leak detection and repair (LDAR) programs, and the use of conservatively high default emission factors in carbon crediting methodologies to incentivize actual emission reductions.

The report details the economic importance of Paraguay's livestock sector, which contributes approximately 12% of the national GDP, while highlighting its role as a major emitter of methane. It identifies a significant gap in productivity, noting that 85% of producers are small-scale and only 22% use improved genetics with technical assistance. The document argues that increasing efficiency—through genetic improvement, reproductive technologies, and regenerative pasture management—can simultaneously reduce emission intensity and increase profitability. It references Paraguay's NDC 3.0 goal to reduce emissions by 20% by 2030, with a specific target of mitigating 2,570.3 kt CO2eq through Good Livestock Production Practices. The report concludes with recommendations for a multi-sectoral roadmap, the development of green financial products like Brazil's Eco-Invest, and the creation of a permanent inter-institutional working group to monitor climate goals.

The report identifies the livestock sector as a primary economic pillar and a major source of methane emissions in Paraguay. It argues that increasing productivity through genetic improvement, regenerative pasture management, and silvopastoral systems can simultaneously reduce emission intensity and increase profitability. The document highlights the need for integrated public policies, innovative green financing, and better local data to meet Paraguay's NDC 3.0 goals.

The report finds that Romania's geothermal potential is largely untapped, contributing only 0.02% to the energy mix and primarily serving district heating and spas. It identifies significant structural barriers, including fragmented permitting, outdated subsurface data, and high early-stage financial risks. The document highlights the potential for the oil and gas industry to accelerate the market by repurposing abandoned wells, which could reduce drilling costs by up to 50%. It recommends streamlining licensing, shifting to energy-based taxation, and introducing risk-sharing mechanisms like drilling insurance to attract investment.

The report finds that while significant financial flows enter the Cerrado, the current financial architecture fails to align agricultural funding with sustainability and zero-deforestation goals. Subsidized sustainable credit represents only 5.7% of total rural credit in the biome between 2020/21 and 2023/24, and is highly concentrated among large producers and a few financial institutions. The Matopiba region is particularly vulnerable, concentrating over 55% of the biome's deforestation (2013–2022) while relying heavily on Constitutional Financing Funds (FCFs), which often lack transparent sustainability criteria. Blended finance instruments show potential through risk mitigation and flexible terms but remain limited in scale compared to the economic incentives driving land conversion. The authors recommend improving transparency via the Brazilian Sustainable Taxonomy (TSB), expanding the role of sustainable credit, and fostering financial innovation to mobilize private capital.

The report argues that the proposed Turkish ETS is fundamentally weak due to its reliance on an intensity-based cap, broad unconditional free allocation, and the use of offsets. These design choices are expected to prevent the system from generating a meaningful carbon price signal, thereby failing to drive emissions reductions aligned with the Paris Agreement and leaving Turkish exporters exposed to significant CBAM fees. The authors recommend transitioning to an absolute declining cap, phasing out offsets, and shifting toward auctioning to retain climate revenues domestically.

In 2025, global coal capacity grew by 3.5% while generation fell by 0.6%, as coal plants increasingly serve as 'system insurance' rather than primary power sources. This trend is most prominent in China and India, where record-high new capacity is being offset by the rapid expansion of wind and solar energy. While the number of countries proposing new coal plants decreased from 38 in 2024 to 32 in 2025, significant expansion continues in China and India, which together account for 95% of global coal capacity under construction. In the US and EU, energy security concerns and government interventions have delayed planned retirements of coal units.