RIYADH: Multilateral development banks, including the Islamic Development Bank, reached record levels of climate finance in 2025, reinforcing their role in supporting sustainable and climate-resilient economies.
The findings, published in the “2025 Joint Summary on Climate Finance” by the MDBs, confirm that these banks are on track to achieve the 2030 targets set at the UN Climate Change Conference, or COP29, in Baku in 2024, the Saudi Press Agency reported.
Climate finance provided by the MDBs to low- and middle-income countries rose 21 percent from the previous year, reaching a record high of $103 billion, while their total climate finance across all countries of operation increased 19 percent to a record $163 billion.
IsDB Vice President of Operations Rami Ahmad said the joint report for 2025 reflects the bank’s growing ambition to translate its climate commitments into tangible development impact.
The bank provided a record $2.4 billion in climate finance, representing 42 percent of its total approvals in 2025. Of that amount, $1.4 billion was allocated to adaptation and resilience, strengthening the foundations for a more sustainable future.
He noted that as the IsDB Group’s Strategic Framework for 2026-2035 enters its implementation phase, its priorities remain focused on increasing investments in clean energy infrastructure and energy security, sustainable transport, water security, and resilient cities. These priorities will be supported by deepening partnerships, expanding innovative Islamic finance solutions, and mobilizing additional capital to accelerate the transition to climate-resilient economies.
