Multilateral Development Banks Collaborate on Circular Economy Transition at WCEF 2023

Multilateral Development Banks Collaborate on Circular Economy Transition at WCEF 2023

(IN BRIEF) Multilateral Development Banks (MDBs) including the AfDB, EBRD, EIB, IDB, and World Bank met at the World Circular Economy Forum (WCEF) 2023 in Helsinki to discuss the circular economy for the first time. They emphasized the role of the financial sector in supporting the transition to a circular economy and recognized the value of collaboration among MDBs. They agreed to work together through the Circularity Exchange Network (CEN) to exchange knowledge, develop standards, tools, and products for circular activities. The MDBs outlined an agenda to link circularity with environmental goals, improve impact assessment methods, increase high-impact circular projects, build capacity, and de-risk investments. They will continue integrating circular economy approaches into sustainable development activities. For more information, contact Marvin Nusseck at Circle Economy.

(PRESS RELEASE) LONDON, 2-Jun-2023 — /EuropaWire/ — The European Bank for Reconstruction and Development (EBRD), a multilateral developmental investment bank, announces that during the World Circular Economy Forum (WCEF) 2023 in Helsinki, the environment-focused directors from major Multilateral Development Banks (MDBs) convened to address the topic of the circular economy for the first time. The African Development Bank (AfDB), the European Bank for Reconstruction and Development (EBRD), the European Investment Bank (EIB), the Inter-American Development Bank (IDB), and the World Bank collectively recognized the significance of transitioning to a circular economy in addressing climate change, biodiversity loss, and pollution. They emphasized the crucial role of the financial sector in supporting countries’ circular economy transition.

The directors acknowledged the value of collaboration among the MDBs on circular economy initiatives and expressed their commitment to continued cooperation, including through the Circularity Exchange Network (CEN). The CEN, initiated by Circle Economy and the Dutch Ministry of Infrastructure & Water Management, also involves the Ellen MacArthur Foundation, UNEP-FI, and the World Economic Forum. The network enables knowledge exchange, collaborative work on standards, tools, and products, and facilitates circular activities and projects.

The agenda outlined in the report “Unlocking the Potential of the International Financial Institutions in the Circular Economy Transition” will serve as a central focus. The future collaboration among MDBs will aim to:

• Connect circularity to key environmental objectives, particularly aligned with the goals of the Paris Agreement.
• Enhance and align impact assessment methods for circular economy investments.
• Increase the share of high-impact circular projects in lending and investment practices.
• Develop internal and external capacity within MDBs and project partners for leveraging the circular economy as a strategy for economic success and resilience in client countries.
• Establish mechanisms to reduce investment risks in the circular economy and facilitate improved access to blended finance through public-private collaboration.

The MDBs will continue working alongside private sector entities and national agencies to integrate circular economy approaches into their sustainable development activities. For further information, inquiries can be directed to Marvin Nusseck (marvin@circle-economy.com).

Media contact:

Tel: +44 207 338 7805
Email: press@ebrd.com

SOURCE: EBRD