The European Bank for Reconstruction and Development (EBRD) is poised to reinforce its position as a leader in green finance with a plan that targets expanding its climate activities to become a majority green bank by 2025.

In a statement on Wednesday, the EBRD said its new Green Economy Transition (GET) approach for 2021-2025 is part of the bank’s overall strategy for the next five years, going to the Board of Governors for approval at the EBRD Annual Meeting on 7-8 October.

“If approved, GET 2021-2025 will be the EBRD’s new blueprint for supporting its countries of operation pursue a green, inclusive and resilient recover from the impact of the pandemic,” the EBRD said.

GET 2021-2025 will build on the success of an already ambitious GET approach for 2015-2020, which the EBRD launched in the run-up to the Paris climate conference, where countries agreed to take action to reduce global warming, according to the statement.

The first GET approach has already taken EBRD green investments to 46 percent of its total investment in 2019, up from 24 percent in the decade up to 2015, according to the EBRD.

“The EBRD is pursuing its ever more ambitious green strategy while continuing to offer short-term support to its countries and clients to address the implications of Covid-19. All EBRD investments in 2020-2021, worth €21 billion, are already committed to helping these countries counter the economic effects of the coronavirus pandemic. An emergency support programme for infrastructure providers is helping ensure the provision of vital services and the continuation of sustainable infrastructure projects despite acute pressure from the pandemic,” added the statement.

EBRD’s Managing Director for Energy Efficiency and Climate Change Josué Tanaka stated that Covid-19 is a sharp warning shot bringing an increasing realisation about the urgency of addressing the rising climate and environmental crisis.

Accordingly, the new EBRD Green Economy Transition approach identifies specific policies and investments in the short term which will support a green, inclusive and resilient recovery. In addition, it defines a set of actions to support its countries of operations to progress towards a low-carbon and resilient future, according to Tanaka.

GET 2021-2025 commits EBRD to focus on aligning with the Paris Agreement goals, with a decision on full alignment to be considered within the next two years.