The Paris Agreement 5 Years Later: The Challenges of Climate Finance and Multilateral Development Banks

In all matters regarding climate change, the modern world presents complex challenges which highlight how investments in infrastructure have as of yet been inconclusive. Th e emission percentages calculated by relevant studies demonstrate the need for long-term investments in infrastructures, to ultimately reduce the impact on the environment and our health. To this end, in alignment with the principles expressed in the Paris Agreement – reducing global warming and incentivising a zero-emission transportation system – and the Sustainable Development Goals (SDGs), these new infrastructures will require a structural change that can be guaranteed by multilateral development banks (MDBs), given their nature, especially within developing countries. MDBs play an important role in supporting local governments, on the one hand creating a prosperous environment for sustainable infrastructures and, on the other, providing innovative financial instruments that could increase the financial sector’s participation. In this paper, aft er a brief excursus on the Paris Agreement’s role in the global climatic crisis, there will be an evaluation of the relations between MDBs and climate fi nance, with a focus on green bonds.ogugliotta@luiss.itOscar Rosario Gugliotta - is a Master of Science in International Relations, a Ph.D. Candidate in Law and Business, Luiss University – Rome, Italy.Oscar Rosario Gugliotta - Luiss University in Rome, ItalyADB, High Level MDB Statement for publication at the UNSG Climate Action Summit, 22 September 2019.Barrett S., Carraro C., De Melo J., Towards a Workable and Eff ective Climate Regime, London 2015.Bartosch S. et al., Aligning Investments with the Paris Agreement Temperature Goal. 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