Climate change action plan 2021-2025
Climate change impacts in terms of lost livelihoods, food and water insecurity, and adverse human capital impacts together with poverty and inequality, present a serious threat to the World Bank Group’s (WBG)
twin goals of alleviating extreme poverty and boosting shared prosperity. Where climate change interacts
with other social, economic, and environmental pressures, compound risks emerge that can increase
vulnerability, exacerbate grievances, and deepen pre-existing fragility. Climate change also increases the
risks of internal displacement, migration, and instability. The costs of unabated climate change mount every year, and prompt and ambitious climate action is needed in all countries. Leveraging and mobilizing private capital in support of this agenda is also of paramount importance, to achieve both scale and impact.
Historically, industrialized countries have been the largest contributors to global emissions, but some emerging economies are now among the top emitters in absolute terms. In 2019, China and India collectively contributed 35.1 percent of global CO2 emissions; all other IBRD borrowers combined,
23.4 percent, non-IBRD and non-IDA borrowers, 34.4 percent; and IDA eligible countries, only 3.6 percent.5 As emerging and developing economies account for over half of global growth in output and consumption and are going to drive global growth it is crucial to flatten the GHG emissions
curve and accelerate the downtrend, especially for the highest-emitting emerging economies, and decouple emissions from growth through green, resilient, and inclusive development, which will also bring new jobs and growth opportunities.
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