Breakthrough Institute – Adaptation Finance and the Multilateral Development Banks, Oct 2024

The Breakthrough Institute's October 2024 report, "Adaptation Finance and the Multilateral Development Banks: From Concepts to Practice," examines the role of multilateral development banks (MDBs) in financing climate adaptation projects, particularly in low-income countries. The report highlights that, despite the urgent need for adaptation in vulnerable regions, MDBs have historically allocated a larger portion of climate finance to mitigation efforts. It emphasizes the necessity for MDBs to prioritize adaptation financing to enhance infrastructure resilience, improve economic stability, and protect communities from climate impacts. The study also discusses the challenges in defining and measuring adaptation outcomes, advocating for clear metrics and transparent reporting to ensure effective use of funds. By analyzing over 2,500 World Bank-funded climate projects between 2000 and 2024, the report provides insights into current financing trends and offers recommendations for aligning MDB strategies with the adaptation needs of low-income countries.