The Asian Development Bank (ADB) has sanctioned a USD500 million loan to support the Government of the Philippines in advancing climate resilience and low-carbon development across sectors such as agriculture, energy, natural resources, and transport. The initiative aims to accelerate reforms that address the Southeast Asian nation’s vulnerability to climate-related risks.
Ranked highest in the 2022-2024 World Risk Index, the Philippines faces severe exposure to natural disasters like cyclones, floods, and sea-level rise. This vulnerability significantly impacts its economic stability. In line with its climate goals, the Philippines increased its greenhouse gas reduction target to 75 per cent by 2030, from 70 per cent set in 2017.
The ADB previously committed USD10 billion in climate finance for the Philippines from 2024 to 2029 to bolster sustainable transport and resilience initiatives. As part of its broader goals, the ADB plans to allocate 50 per cent of its annual lending to climate finance by 2030, reinforcing its dedication to addressing global climate challenges.