The policy brief sets the context to explore how National Development Banks (NDBs) can be leveraged to finance climate smart urban infrastructure, and builds its main findings and recommendations on the main conclusions from the Cities Climate Finance Leadership Alliance (the Alliance). The policy brief on Enhancing the Role of National Development Banks in Supporting Climate-Smart Urban Infrastructure is commissioned by FELICITY and developed in partnership with the Alliance.
Description: The policy brief informs on the development and present maturity models for Cities and NDBs, which reflect the key parameters required to overcome the identified challenges at the policy, regulatory and legal levels, as well as institutional, financial and operational levels, among others. The Methodology for Developing Maturity Models was diverse and the interviews conducted to select the NDBs’ cities is intended to bring diverse global perspectives based on the different sizes, needs and capacities. Cities and NDBs face several barriers which can be addressed by different stakeholder groups. In other words, overcoming these barriers is not solely in the purview of NDBs or cities. NDBs’ maturity in financing climate-smart urban infrastructure can be measured against the 12 defined dimensions.
In that regard, NDBs are recommended to build a strong relationship with the Ministry of Finance to ensure political commitment to supporting the NDBs’ (renewed mandate) and sufficient capitalization to be able to execute this mandate.
