ľ¹ÏÓ°Ôº

People in the Europe and Central Asia region (ECA) continue to face rising threats from the impacts of climate change, from devastating storms and landslides to severe heat waves, droughts, and wildfires. And the long-term impacts can be substantial.

ECA¡¯s poorest countries face the greatest threats from climate change, and impacts will be uneven within countries, with poor regions and households hit hardest. Investments in adaptation are critical to strengthen resilience to climate change and can have strong financial returns and development benefits.

Transitioning to clean and renewable energy is crucial for the ECA region to achieve energy security and reduce greenhouse gas emissions, but the transition to a low-carbon growth path is particularly challenging. The ECA region is among the world¡¯s largest carbon emitters on a per capita basis. There remains a legacy of unfinished transition where a limited private sector and institutional and governance challenges hamper climate transition policies.

A challenge of this size requires the World Bank Group to provide expertise and innovation across multiple sectors, innovative financing solutions, and the ability to convene multiple players across borders and institutions. ECA countries require scaled up private and public finance to achieve mitigation and adaptation targets and a range of policies to ensure that investments are effective while protecting vulnerable households.

ľ¹ÏÓ°Ôº Group is increasing its support in the ECA region, with an emphasis on meeting country development needs and ensuring a just transition for workers and communities. We are committed to helping countries create opportunities to diversify economies and promote modernization, invest in nature-based solutions to mitigate the effects of climate change, accelerate investments in energy efficiency and renewable energy, and implement pathways for sustainable heating. Since FY2020, the World Bank in ECA has provided US$15 billion in climate finance to support mitigation and adaptation in the region.

In °Õ¨¹°ù°ì¾±²â±ð, the Bank is supporting adaptation to climate change through developing a 10-year program to address worsening water scarcity, and also supporting the government¡¯s ambitious plans to install 60GW of renewable energy by 2035 through investing in the needed transmission infrastructure.

In the Western Balkans, the Bank is improving flood protection and strengthening transboundary water cooperation in the Sava and Drina Rivers. It is also developing a comprehensive climate change strategy to define adaptation measures and enhance climate resilience in the river basins.

ľ¹ÏÓ°Ôº¡¯s support to strengthen ±Ê´Ç±ô²¹²Ô»å¡¯²õ  over the last 25 years helped protect more than 10 million people from the devastating impact of recent floods in Central Europe.

ľ¹ÏÓ°Ôº Group is considering support for the construction of transmission infrastructure in Azerbaijan, including Battery Energy Storage Systems, to enable the connection of three renewable energy power plants (solar and wind) with a total installed capacity of 1 GW to the national grid.

Through IDA, Kyrgyz Republic, Uzbekistan, and Tajikistan are expanding access to water in unserved and underserved rural areas, upgrading inefficient water delivery systems, and limiting water loss through more efficient irrigation systems.

Uzbekistan received a $7.5 million payment for successfully cutting 500,000 tons of carbon emissions as part of an innovative policy crediting program called iCRAFT. The program is designed to help Uzbekistan turn its energy sector into a more efficient, low-carbon sector.  The country is rewarded for emission reductions generated through electricity and gas tariff reforms, energy efficiency measures, and transitioning to more climate-friendly energy resources. Phasing out subsidies will both reduce the burden on the public budget and improve the long-term financial sustainability of the energy sector. Uzbekistan will allocate part of the carbon credits raised through emission reductions to support vulnerable households affected by the changes in energy tariffs.