The World Bank has said that spending an average of 4.5 per cent of GDP on ‘climate-friendly’ infrastructure could help developing countries achieve the Sustainable Development Goals (SDGs).
According to the World Bank in a new report, countries should begin to “spending better” rather than “spending more” if they want to achieve the SDGs.
The Bretton Woods institute noted that by allocating 4.5 per cent of GDP on greener infrastructure, countries could deliver what the World Bank called ‘climate-smart’ infrastructure.
It could also assist these nations with staying on track to limit
climate change to up to 2 degrees, if the ‘right’ policies were put in
place alongside the investment, the report said.
“The good news is this is close to what many countries already spend,” said Kristalina Georgieva, interim president of the World Bank.
She said: “With the right choices, infrastructure can be built that
helps achieve globally agreed emissions targets.
“The focus must be on smarter and more resilient investments, not necessarily more money.”
According to the research, developing countries already spend between 3.4 per cent and 5 per cent, with an average of 4 per cent of GDP on ‘green infrastructure’.
