The World Bank (WB) Group has achieved record levels of investment in renewable energy (R.E.) and energy efficiency (E.E) in developing nations during the fiscal year 2008–09. Financing by the Group—comprising the International Finance Corporation (IFC) and the Multilateral Investment Guarantee Agency (MIGA)—rose by 24 percent to reach $3.3 million—a figure which accounts for 40 percent of the total Bank Group lending in the energy sector. During the past five years, from 2004–09, the Bank Group approved 366 R.E. and E.E projects in 90 countries.
Financing for these projects during that period amounted to more than $7 billion, surpassing the commitment made by the WB Group at the 2004 Bonn International Renewable Energies Conference to increase support for new renewable energy and energy efficiency by nearly threeand-a-half times.
While MIGA provided over $350 million to support R.E. and E.E. projects, IFC made a contribution of more than $1 billion over the past 3 years, financing a record 12 R.E. projects. Most of the funding by IFC occurred in WORLD BANK GROUP MAKES RECORD INVESTMENTS IN R.E. 2009 and included
financing three wind projects in Bulgaria, Chile, and Turkey, which have a combined generating capacity of more than 500 MW. IFC also secured approval from the Trust Fund Committee of the World Bank-administered Clean Technology Fund (CTF) for a $15 million contribution to a 68 MW wind project in Mexico.
The WB entity made its first investment in solar photovoltaic manufacturing in China and also financed a geothermal project in the Philippines in 2009, made commitments to two clean energy private equity funds in Asia, and entered into two risk-sharing cofinancing agreements with commercial banks. The IFC is also working closely with the World Bank to encourage countries to implement regulatory frameworks that stimulate investment in renewables.