EIB defends climate ‘leadership’ after World Bank scraps financing target

July 3, 2026 - 20:56

The European Investment Bank has pushed back against criticism that it might weaken its climate commitments, following the World Bank's decision to scrap a key financing target. The EIB insists it remains a global leader in green lending, even as other development banks face pressure from the United States to shift priorities.

Non-profit groups have voiced alarm that the World Bank's move to "retire" its goal of dedicating 45 percent of annual lending to climate projects could set a dangerous precedent. They fear other multilateral lenders, including the EIB, may now come under similar pressure from the Trump administration to reduce their focus on climate finance.

The EIB, however, stated that its own climate targets remain unchanged. The bank has committed to aligning all its activities with the Paris Agreement and aims to support 1 trillion euros in green investment by 2030. A spokesperson emphasized that the EIB's mandate is set by its European Union shareholders, not by Washington.

The World Bank's decision to drop the 45 percent target was seen by some as a concession to U.S. demands to prioritize fossil fuel projects and other non-climate investments. While the bank said it would still work on climate issues, the removal of the specific benchmark has raised questions about accountability.

Environmental campaigners argue that the retreat by the World Bank could weaken global momentum just as countries need to accelerate their climate efforts. They are now watching the EIB closely, hoping it will not follow suit. For now, the European lender is standing its ground, but the pressure from across the Atlantic is unlikely to fade.