Buenos Aires, Argentina//—Climate change is one of the greatest development challenges of our time: left unchecked, it could push an additional 132 million people into poverty over the next decade.
Recognizing the need to take faster, fairer, and more ambitious inclusive climate action now, the International Finance Corporation (IFC) and the global network of mayors C40 are joining efforts to support cities—which account for more than 60 percent of global greenhouse gas emissions and consume two-thirds of the world’s energy—in building green investment pipelines.
In the context of the C40 World Mayors Summit, which takes place this week in Buenos Aires, the parties signed a memorandum of understanding (MoU) to actively collaborate in projects involving C40’s Climate Action Plan (CAP) development tools and IFC’s Advanced Practices for Environmental Excellence in Cities (APEX) software.
APEX is an innovation of IFC, that helps municipalities identify and prepare investments in green solutions in four key areas—energy, water, waste, and public transport. APEX harnesses data insights from advanced green practices around the world and cities’ CAP to create tailored solutions for cities.
“Through this partnership, IFC will be better positioned to help cities attract private capital to finance their priority climate-smart infrastructure projects. IFC is committed to mobilizing commercial financing for priority sub-national projects, connecting cities with capital markets, and helping them improve their creditworthiness,” said Manuel Reyes-Retana, Regional Director for Latin America and the Caribbean at IFC.
“C40 cities around the world have been developing ambitious, equitable climate action plans to establish a clear pathway to collectively halve emissions by 2030. But significant work is needed to turn them into investment plans.
We are excited to partner with IFC to develop a pipeline of projects in Latin America,” said Andrea Fernandez, Managing Director, Climate Finance, Knowledge and Partnerships, C40 Cities.
IFC is currently implementing APEX pilots across the globe, and in many cases, such as Medellin in Colombia, Quezon City in the Philippines, and Lima in Peru, it is building upon the cities’ existing C40 climate action plans.
C40, a global network of mayors of nearly 100 world-leading cities taking urgent action to confront the climate crisis, is supporting cities in developing climate action plans that have the level of ambition and action needed to play their part in meeting the objectives of the Paris Agreement.
Under the agreement, which emphasizes the broader goal to open new avenues for deeper and sustained joint action, IFC and C40 will help cities develop green investment pipelines in additional APEX projects, starting in Latin America with the potential to expand the initiative to other regions. Parties expect this collaboration will help to build a preliminary pipeline of projects above $500 million.
