WASHINGTON, United States — Close to 40% of World Bank climate financing over the past seven years is currently unaccounted for, Oxfam said in a new report published Wednesday, blaming poor record-keeping.
An Oxfam audit of the development lender's climate finance portfolio between 2017 and 2023 found that as much as $41 billion in climate finance could not be found "between the time projects were approved and when they closed."
"The Bank is quick to brag about its climate finance billions — but these numbers are based on what it plans to spend, not on what it actually spends once a project gets rolling," Kate Donald, the head of Oxfam's Washington office, said in a statement.
The Oxfam audit found there was "no clear public record" of where the money went, making it impossible to assess its impact -- or whether the funds were actually spent on climate-related activities, as promised.
"With this level of information, it is impossible to determine whether the Bank is truly stepping up its climate investments," the report's authors said.
The World Bank has looked to boost its climate financing commitment under new president Ajay Banga, who took over last year on a pledge to reform the 80-year-old Washington-based institution.
Since then, the Bank has committed to raising the proportion of its annual financing that goes to climate change adaptation from 35% to 45% starting in the fiscal 2025 year, which began in July.