16 November 2020

Finance in Common: the development banks united for the climate

Caisse des Dépôts Energie et environnement

On 12 November for the first time, the world 450 public development banks met at the Finance in Common summit held during the Paris Peace Forum. In the context of the Covid-19 crisis, they are willing support the building of a fairer and more resilient future.

Indeed, their volume of activity represents $2,300bn per year, or 10% of the total amount invested worldwide each year, public and private sources combined.

The Covid-19 crisis has accentuated inequalities in the world, while climate change remains a priority that must be fought against.

This is why the public development banks (PDB) are determined to support the urgent transformation of economies by helping to reorient the financial sector towards long-term investments in the public interest: they are sending a signal to the international financial sector.

Caisse des Dépôts was a partner and sponsor of this first Finance in Common summit organised by the French Development Agency (AFD) and the Paris Peace Forum.

In this context, Eric Lombard, Chief Executive Officer of Caisse des Dépôts, spoke at the High Level Event organised by Caisse des Dépôts about "Financing recovery and responsible and sustainable investment: the key role of public equity"

 

Caisse des Dépôts has developed clear and prioritised objectives in terms of sustainable development. We have developed specific indicators to measure and monitor our actions and investments (...). Companies cannot develop solely through debt and projects cannot be financed without equity. Equity capital and financial institutions willing to share the risks are needed.
Eric Lombard

For more information on the commitments made, read the press pack and the PDBs Joint Declaration

 

 

Public Development Banks (PDBs, also called Development Finance Institutions) are institutions at the interface between finance and public policy. They have three features: legal and financial autonomy; control or support by a central or local government; and a public mandate to address market imbalances. The China Development Bank is the largest PDB with $235bn in assets in 2018. Caisse des Dépôts, created in 1816, is the oldest.