This report is a global assessment of national public development banks’ (PDBs) involvement in the water sector in its broadest sense. It was commissioned by the Agence Française de Développement (AFD) in the context of the Finance in Common Initiative, which seeks to enhance PDBs’ role in financing countries’ commitments to the Sustainable Development Goals and the Paris Agreement.
Public Development Bank (PDB) encompasses a range of institutions with government shareholding, including multilateral, bilateral, national, and sub-national development banks. This paper analyses the duties of governments in relation to nature and the supervision Public Development Banks (PDBs). It also appraises the powers available to government shareholders to direct PDB management: to improve risk management practices related to nature dependency; and, to reduce impact on nature.
This paper is an updated and expanded version of the one released in November 2020 ahead of the inaugural Finance in Common Summit. It aims at demonstrating that Public Development Banks (PDBs) can and should perform a stress test of the nature-related risks and impacts on their balance sheets nowadays. Read more here…