Hello. I am happy to join you virtually. I’ll make comments and then be happy to answer questions.
Our Global Economic Prospects (GEP) report last week warned that the economic recovery is uneven. Growth is concentrated in a few large economies. Inequalities are growing because most developing countries are left behind.
Yesterday I spoke with G7 leaders about the work of the World Bank Group on health and preparedness.
I applauded the vital work of the G7 and its vaccine donations. These will save lives around the world. But there is still a lot to do.
The World Bank will have approved immunization programs in more than 50 countries by the end of June. It is essential that we connect surplus vaccine stocks with countries that are able to use them. This is a major issue in terms of logistics and contractualization.
On Friday, I announced our joint work on this with the African Union AVATT vaccination program.
We are convening a task force with the IMF, WTO and WHO to help track supplies, coordinate delivery and accelerate deployment.
Increasing supply is also vital. IFC is leading a consortium to support regional vaccine production and manufacturing capacity in Africa, including investments from several G7 DFIs. Investment works in South Africa, Senegal and Rwanda are at an advanced stage.
Beyond vaccines, the World Bank Group has committed more than $ 125 billion since the start of the pandemic to help countries respond to Covid. It is the fastest and largest crisis response in our history, helping more than 100 countries meet emergency health needs, strengthen pandemic preparedness, protect the poor and protect jobs. , and launch a climate-friendly recovery.
Today, I will speak with G7 leaders about the World Bank Group’s work on climate, nature-based solutions and biodiversity.
The World Bank Group has increased climate finance to record levels in my first two years as president. We now provide more than half of all multilateral climate finance to developing countries; and two-thirds of climate adaptation funding.
Over the next five years, we will be spending a lot more. We explicitly want this spending to produce as many results as possible – in terms of reducing greenhouse gas emissions and successful adaptation.
Our climate change action plan will help countries prioritize their climate spending and integrate climate and development into a holistic approach that includes nature-based solutions.
We are working with countries to make their NDCs more results-oriented and better integrated into their development plans.
Economic incentives are important and we are working to help countries stop subsidizing fossil fuels and start taxing carbon taxes.
We will work with the larger emitters to identify the best ways to flatten their emissions curve and accelerate the downtrend.
Our plan includes support for a just transition away from coal. This means new skills and jobs for coal miners and other people dependent on coal. Also new base load sources for the power grid.
At least half of our climate finance will be spent on adaptation. This is particularly important for low income countries.
We align our funding flows with the Paris Agreement.
We build diagnostics to help countries prioritize, and I want to mention our new National Climate and Development Reports, or CCDR. These will take an in-depth look at the goal of reducing carbon and adding jobs at the same time.
We expect 25 CCDR. I was in Moscow earlier this month and the Russian authorities agreed to work with us on one of the first CCDRs.
In climate change, as in other areas, we will defend transparency. We will support the development of green bonds and carbon credit markets that build on demonstrable climate impact, and not just greenwashing.
I will just say a few words about biodiversity. Many developing countries depend on nature – for food, raw materials, fishing, pollination, water filtration and more.
Much of this resource is at risk, and we are working to reverse the trends. The World Bank Group supports both COP 26 and COP15 on biodiversity.
The urgency is clear and I welcome the support of the G7 for these critical agendas.
With that, I’ll be happy to answer all of your questions.