STATEMENT: World Bank Extends Climate Change Action Plan, But Drops Key Climate Finance Target

WASHINGTON, DC (June 30, 2026) - This week, the World Bank Board of Directors decided to drop its goal of having 45% of its investments support climate mitigation and adaptation. The Board extended the rest of the Climate Change Action Plan (CCAP), which was set to expire today, and agreed to conduct a review of the Plan.

Elimination of the 45% climate finance goal came at the demand of the current United States administration, along with a small number of additional countries, including Russia and Saudi Arabia. It comes despite resistance from a large coalition of developing nations and other shareholders - a bloc of nearly 100 countries - who called for continued climate finance commitments.

Following is a statement from Melanie Robinson, WRI Global Director for Climate, Economics and Finance:

"Developing countries are increasingly seeking investments that both reduce poverty and seize the opportunity of more resilient, greener growth. Since the Climate Change Action Plan and target were put in place countries have invested World Bank resources in increasing access to clean and affordable energy and water, building more resilient food systems and cities and creating green job opportunities.

"It is unfortunate that a small number of shareholders have succeeded in weakening this framework by eliminating its target. It is important that the planned review of the Climate Change Action Plan strengthens, rather than further reduces, the opportunity for countries to participate in one of the most important economic transitions of our time."

• Darla Bijou van Hoorn

  Media Relations Manager

• Hayden Higgins

  Communications Manager, Finance & Private Sector