MDBs play a crucial role in promoting low-carbon procurement in the infrastructure sector. As major infrastructure funders in developing countries, they can lead the shift to sustainable, climate-friendly practices.

The analysis shows that MDBs are increasingly embracing this responsibility. They are integrating sustainability into their procurement policies and practices, seeing it as a key tool to meet climate goals.

However, challenges persist. These include competing priorities, incomplete monitoring of sustainable practices, and limited capacity of borrowing countries to meet complex sustainability requirements. Additionally, the readiness of markets for low-carbon solutions varies.

To overcome these challenges and foster low-carbon procurement in the infrastructure sector, MDBs can

• showcase how low-carbon procurement contributes to socio-economic development priorities,
• expand and improve capacity-building initiatives for borrowers and suppliers,
• streamline internal processes and systems and provide easy-to-use GPP tools,
• engage the market through transparent procurement practices,
• facilitate technology transfer through pilot projects, and
• improve the monitoring of sustainable procurement practices.

By addressing these challenges and implementing these recommendations, MDBs can speed up the adoption of low-carbon procurement in infrastructure projects. This will cut greenhouse gas emissions and help decarbonize key supply chains around the world.

The Government of India has set ambitious goals to ramp up a range of clean technologies by 2030 to increase energy independence, security, and access while promoting industrial development and reducing air pollution and GHG emissions. To deliver on these goals, the government has introduced a suite of financial and non-financial support measures. But will these measures be sufficient to reach the goals in full and on time?

This report aims to answer that question for five technologies: three in the power sector (battery energy storage systems [BESSs], offshore wind, and solar photovoltaic [PV]); one in transport (electric vehicles [EVs]); and one in industrial technology (green hydrogen [GH2]).

The report estimates the cost gap to achieve India's 2030 clean energy targets for each clean energy technology. The gap identifies by how much the cost of a specific clean technology must drop to reach cost parity with conventional technologies (such as thermal power and internal combustion engine vehicles) to meet the stated clean energy goals for each technology.

Key findings of this report include:

• Government support has been vital for the rise of renewable energy in India and has allowed three of the five key technologies—BESSs, solar PV, and EVs—to either already reach cost parity with their conventional equivalent or to do so in the next decade.
• Government support for clean energy goals can have several co-benefits: it can drive economic growth, create jobs, and increase public revenue while reducing GHG emissions and air pollution.
• Existing Central Government subsidies (provided and announced) were found to be sufficient to fully cover the cost gap for solar PV and BESSs. No additional direct financial support is required, but regulatory reforms and accelerated auctions are essential to maintain momentum.
• Offshore wind and GH2 face the largest cost gaps due to their nascent status and ambitious targets. To tap into India's 71 GW of offshore wind potential, additional government support of at least ~INR 9,000 crore per GW (~USD 1.08 billion per GW) will be needed in the short term.
• For GH2, current government funding covers only ~5% of the cost gap and will be exhausted before 2030, requiring a second tranche to continue even at this minimal level of support. Overall, for the government to bridge the full cost gap for GH2 between 2024 and 2030, nearly 0.96% of the GDP would be required.
• Central and state governments do not need to fund the full cost gap, however, because small public investments can catalyze larger private sector contributions. Other policy tools such as renewable purchase obligations and fossil fuel taxation reforms can direct investment toward clean technologies.
• International climate finance will be essential, especially for technologies like offshore wind and GH2, which have high viability gaps.
• Investing now in clean energy technologies, even for high-cost sectors, can have positive co-benefits and ensure India's global competitiveness and long-term economic and environmental resilience.

This is the second synthesis report of its kind, developed by the NAP Global Network. With a larger sample size than the first review in 2020 and the opportunity to leverage the outcomes of the first global stocktake under the Paris Agreement, as well as the renewal of countries’ biodiversity and conservation commitments under the Convention on Biological Diversity (CBD), the NAP Global Network has updated analysis on NbS and/or EbA integration in NAPs with new methodologies for review and renewed insights for the NAP process.

Its findings are derived from a desk-based review of 57 multi-sector NAP documents submitted to the United Nations Framework Convention on Climate Change (UNFCCC) as of July 31, 2024. The review focused on the following key aspects:

• references to EbA, NbS, ecosystem-based approaches, ecosystem-based disaster risk reduction, ecosystem management, and natural infrastructure;
• the inclusion of ecosystems and biodiversity within climate risk assessment sections and the inclusion of types of ecosystems identified as vulnerable;
• references to ecosystem-based guiding principles and the inclusion of ecosystems as a stand-alone priority sector within the NAP;
• references to the country’s National Biodiversity Strategy and Action Plan (NBSAP), developed under the CBD, and to synergies and alignment opportunities between the NAP and NBSAP; and
• types of EbA/NbS measures identified in NAPs.

Since 1960, Ethiopia has seen an average temperature rise of 1 °C. Experienced most from July to September, this warming is accompanied by erratic rainfall patterns, resulting in soil erosion, reduced agricultural productivity, and increased risk of crop diseases and pests. Ethiopia is heavily reliant on agriculture, with the sector accounting for 40% of GDP, 80% of exports, and around 75% of employment in the country.

In recent years, prolonged droughts (2022 and 2023) have severely impacted food security. Malnutrition has become widespread, especially among children, with stunting levels rising to 39%, according to the 2023 Food and Nutrition Strategy baseline survey. The impacts of climate change are not only affecting the environment and the economy, but also devastating the health and nutrition of Ethiopia’s communities.

To combat this, the Ethiopian Ministry of Agriculture (MOA) and Save the Children created the Nutrition Sensitive Agriculture Capacity and System Strengthening Project (NSA CASE project). Over a 5-year span (2019–2024), the project focuses on strengthening the ministry’s system to enhance access, availability, and consumption of nutritious foods.

Implemented in three regions of Ethiopia—Oromia, Amhara, and Somali—interventions include planting drought-tolerant perennial fruit trees, introducing improved seed varieties, and using moisture-harvesting technologies. These actions are designed to address the region-specific climatic challenges while improving agricultural resilience and nutritional outcomes for Ethiopia’s most at-risk populations.

The assessment presented in this report uses the outcomes of the NSA CASE project to estimate the full impacts of investments for food resilience under the National Nutrition Sensitive Agriculture Strategy. As a result, project-specific results were extrapolated to match the additional funding allocated by the government and farmers, and the area impacted by these investments. This analysis therefore offers insights into the potential outcomes of the larger-scale initiative.

We used our Sustainable Asset Valuation (SAVi) methodology to assess a series of intervention options (including planting perennial fruit trees, using drought-tolerant crops, enhancing seed variety as part of climate-smart agriculture practices, and implementing moisture-harvesting technologies such as terraces, trenches, mulching, and geomembrane constructions to support water efficiency, improve nutrient uptake, and reduce soil erosion) across three scenarios:

• Nature-based infrastructure (NBI) Scenario 1 includes the economic valuation of all direct, indirect, and induced benefits, both tangible and intangible for farmers and society.
• NBI Scenario 2 includes the same interventions as Scenario 1 but focuses specifically on externalities linked to the agricultural sector.
• NBI Scenario 3 narrows further, only considering the economic impacts on the agriculture sector without considering broader environmental or societal benefits.

We found that for the first NBI Scenario, for every USD 1 invested in the project, up to USD 2.37 could be returned over a 26-year period, amounting to USD 46 billion (ETB 5,161 billion) in avoided costs and added environmental, social, and economic benefits. This includes job creation, increased agriculture productivity, carbon storage, avoided impacts from flood and drought, avoided loss of life from flooding, and malnutrition.

This study demonstrates that agroforestry and climate-smart agricultural and water management practices have the potential to reduce the impacts of flooding on the community, reduce impacts on agriculture and nutrition, protect livelihoods, and boost local economies through sustainable income.

This report examines the potential for ASM to take an expanded role in the global supply of critical minerals as governments and industries scramble to meet demand driven by the adoption of low-carbon energy and digital technology.

The ASM sector involves labour-intensive mineral extraction. It is an overlooked source of minerals, despite being a significant contributor to the global supply of critical minerals and several others. Although not all critical minerals can be easily sourced through ASM, there is potential for a greater role for ASM in sourcing them.

The expanded role of ASM would support much-needed livelihoods and economic development in local communities. However, considering that ASM activities can be environmentally destructive and executed by subsistence operators, major shifts in policy and regulatory stances are required to formalize and support the sector in realizing its full potential.

The report begins by analyzing key developments in critical minerals, including revisiting why industries and governments are rushing to secure access to these commodities and where key reserves are located. It then turns to ASM itself. Because it is difficult to gather ASM data due to the deeply informal nature of many critical mineral supply chains, this report includes case studies of key locations that are making important contributions to supply and where information is available. The report also identifies new ASM frontiers that could become significant if developed with the right support.

The report provides important next steps that must be taken if ASM is to become a more significant part of the critical minerals equation moving forward. Each step would go a long way toward providing the sector with the platform it needs to be viewed as a reliable contributor to the global critical minerals supply. Each step relates to strengthening ASM formalization, which would provide the sector with much-needed visibility in debates on critical mineral supply. The report, overall, seeks to advance discussions on the importance of ASM in the critical mineral space.

Soils in East Africa are inherently acidic, which affects agriculture, and over 60% of arable land is now degraded, posing risks to sustainability, food security, and livelihoods. Urgent interventions are needed to address this issue.

Key findings in this report highlight that the application of agricultural lime, when paired with broader soil conservation measures, such as those embedded into integrated soil fertility management, has the potential to tackle soil acidity and increase soil health. To effectively reach farmers in high-priority areas, a holistic and short-term approach is proposed in this document, laying the groundwork for future scaling of interventions.

Coordination among stakeholders is crucial, especially those involved in the lime value chain. Collaborative efforts between various actors will enhance resource utilization and support the widespread adoption of sustainable soil management practices. Furthermore, the private sector plays a vital role in establishing robust lime value chains.

Responsible investment in agriculture and food systems is key to addressing various socio-economic and environmental challenges and advancing sustainable development objectives. IISD is working with partners to support investors and agribusinesses in aligning their investment and business practices with international principles, such as the Committee on World Food Security Principles for Responsible Investment in Agriculture and Food Systems (CFS-RAI).

This report summarizes a 2-year strategic collaboration between IISD, Appui au Développement Autonome, and CERISE+SPTF to improve private sector compliance with international principles of responsible investment in agriculture and food systems.

The collaboration produced detailed, context-specific case studies of agribusinesses operating in different value chains and value chain segments in developing countries. These case studies examine good business practices for responsible investment and demonstrate how agribusinesses can support and benefit local farmers and communities and safeguard local ecosystems. The collaboration also involved the development and testing of an innovative and practical tool to help agribusinesses evaluate the alignment of their practices with responsible agricultural investment principles and take actionable steps to improve compliance.

GPP is a powerful tool for governments to drive sustainability and meet environmental goals. This report examines the state of GPP in Indonesia, which has made significant strides in this area but still faces challenges in widespread adoption and effectiveness.

Key findings include:

• Indonesia has established a strong policy framework for GPP, with provisions integrated into national development plans and procurement regulations.
• Several tools and initiatives are in place to support GPP implementation, including eco-labels, sustainability standards, and specialized procurement platforms.
• Challenges remain, including limited understanding of GPP among procurement officials, availability of green products, cost concerns, and inadequate monitoring mechanisms.

The report provides four key recommendations to advance GPP in Indonesia:

1. improve easy-to-use tools tailored for public procurement,
2. enhance training, capacity building, and support infrastructure,
3. provide financial and non-financial incentives for procurers and suppliers, and
4. improve GPP monitoring through integrated data collection and analysis.

By implementing these recommendations, Indonesia can accelerate its progress toward a more sustainable and environmentally conscious procurement system, supporting its green economy goals and positioning itself as a regional leader in GPP practices.

This study will be valuable for policy-makers, procurement officials, and sustainability professionals looking to understand and scale up GPP in Indonesia and other developing countries.

In Madagascar, 80% of the population lives in rural areas with limited access to protein-rich foods, leading to problems of undernourishment and malnutrition. Fish, a nutrient-rich food, is almost exclusively available in coastal regions and urban centres on the island. Aquaculture has the potential to supply the rural population with fresh fish and additional income opportunities.

Rice-fish systems enable carp and tilapia to be farmed alongside rice in paddies, providing symbiotic benefits for both: the rice provides fish with a sheltered habitat and insects to feed on, while the rice is fertilized by the fish waste. Currently, only 20% of suitable fields are used for rice-fish farming, despite its benefits.

To tackle this, the Projet d'Aquaculture Durable à Madagascar (PADM) focused on the promotion of rice-fish and pond culture in the highlands and the east coast of Madagascar. Financed by the Federal Ministry for Economic Cooperation and Development (BMZ) and implemented by the Gesellschaft für Internationale Zusammenarbeit (GIZ) GMBH, the project supported 15,815 fish farms covered in the project. Local communities also benefited from livelihood opportunities across the value chain and from the availability of fresh fish and improved nutrition.

The project was implemented over six target regions, covering 590 hectares: Analamanga, Vakinankaratra, Itasy, Amoron’I Mania et Haute Matsiatra in the highlands, and Atsinanana along the east coast. Each region is characterized by diverse types of fish farming: rice-fish culture in the regions of Vakinankaratra, Itasy, Haute Matsiatra, and Amoron’I Mania, as well as pond culture in the regions of Analamanga and Atsinanana.

We worked with The Shamba Centre and GIZ to assess the costs and benefits of

• extensive rice-fish farming: a land-based system that uses earthen ponds to cultivate fish symbiotically with rice, optimizing nutrient exchange to balance natural feed use and promote mutual growth.
• semi-intensive fish farming: operates on land in earthen ponds and relies on fertilizing the pond to produce natural feed, which is then supplemented with carbohydrates and other formulated feeds to make the best use of the protein source.
• intensive net cage fish farming: operates in large water bodies and relies on feeding caged fish with formulated feeds and sufficient water exchange to maintain water quality and provide for oxygen.
• intensive fish farming in tanks: operates in fish tanks using recirculating aquaculture systems and relies on feeding fish with formulated feeds and mechanical and biological water conditioning, as well as aeration and/or oxygenation.

Our Sustainable Asset Valuation analysis found that when including externalities in the assessment of these aquaculture projects, extensive systems perform on average 36% better than intensive systems by avoiding negative externalities associated with these systems.

This report underlines important questions about the potential to harness the mining industry to deploy digital technologies and how these may have wider socio-economic impacts. It also raises questions for policy-makers about the social and security risks that accompany increased connectivity and what that means for governments, mining companies, and communities.

The report also highlights successful case studies in South Africa, the Democratic Republic of Congo, and Senegal that demonstrate how targeted investments and policies can enhance the socio-economic benefits of digital connectivity.