A $12 Billion Climate Fund Is Readying a Rare Bond Issuance (1)

A multilateral climate fund is preparing to access capital markets for the first time, as governments balk at providing the extra financing needed to cut global emissions.

The Climate Investment Funds, a $12 billion fund inside the World Bank, is planning a roughly $500 million bond issuance, with proceeds intended to spur investment in renewable energy and new technologies in developing economies over the next five to 10 years.

It’s “about being smarter with our capital basis and adding significant multiplier effects,” Chief Executive Officer Tariye Gbadegesin told Bloomberg.

Multilateral climate funds are designed to collect funds from rich ...