Treasury presses development banks to fund low-carbon projects

The Treasury Department is urging multilateral development banks (MDBs) to prioritize funding for renewable energy and other low-carbon projects while discouraging financing for most fossil fuel infrastructure in developing nations, a policy the Biden administration has promised as part of the president’s climate agenda. In a guidance document released Aug. 16, Treasury says the U.S. “will promote ending international financing of carbon-intensive fossil fuel-based energy while simultaneously advancing sustainable development and a green recovery.” The document also reinforces the administration’s...