The World Bank provides approximately 35 percent of its financing in local currency

A session titled "Global Finance Summit" was held within the scope of the 31st Conference of the Parties (COP31) to the UN Framework Convention on Climate Change, hosted by Türkiye for the first time.

In his speech at the opening of the session, Banga emphasized that their strategy is based on three main pillars, saying that the first is to develop the infrastructure of physical and human capital, the second is to create an environment where businesses can develop, where there are strong institutions, predictable rules and policies that help entrepreneurs invest, grow and create jobs, and the third is to direct finance to the sectors and economies needed for the development of that country.

Pointing out that climate discourse in the developed world basically focuses on mitigation aimed at reducing emissions in the future, Banga continued as follows:

"In developing economies, the immediate concern is often adaptation. Protecting coastlines, securing harvests, securing water, building infrastructure that can withstand severe weather. These countries are also looking for reliable energy, industrial growth and economic opportunities that advanced economies have long enjoyed. The idea is that we are trying to bring together what we call smart development, building physical resilience and institutional strengthening into development from the very beginning."

A flood-resistant road keeps commerce flowing without having to be rebuilt twice, and an insulated school allows children to continue learning in extreme heat. Drought-tolerant seeds and drip irrigation maintain yields, while rail transport moves goods more efficiently and with fewer emissions. What these versions or investments do is do two things at the same time.”

"We mobilized $112 billion this fiscal year"

World Bank Group President Banga emphasized that investors need predictable policies and regulations, and reported that approximately 30 percent of public sector financing last year supported policy and institutional reform.

Banga pointed out that investors need protection against risks they do not control, and noted that they simplified access to guarantees and that the annual issuance of guarantees increased from 5 billion dollars 4 years ago to 25 billion dollars today.

Stating that currency depreciation may make long-term projects uninvestable, Banga said, "We provide approximately 35 percent of our financing in local currency through IFC. In fact, we are working with the IMF to develop local currency markets in 40 more countries. Private investors need us to take risks at an early stage. Private investors need us to take some risks at an early stage. Together with IFC, we launched the Frontier Opportunities Fund, which we financed with $100 million from our own accumulated earnings. Now, we are fighting climate change in emerging markets." "We're working with a number of other philanthropic and impact investment institutions to provide secondary equity and first-loss protection on their projects, and we've mobilized $35 billion of private capital in fiscal 2022, more than tripling $112 billion this fiscal year." he said.

Banga explained that they are working on how to scale their climate-focused investments and stated that they aim to start meeting private sector customers in the places where they invest.

Stating that they have expanded their presence in New York, Frankfurt, Milan and Tokyo, Banga stated that their aim is to meet investors there, help them create opportunities, solve problems faster, establish stronger business connections and move from a kind of project buyer mentality to a business development mentality, instead of meeting them when they are ready to invest in a developing market.