Mapping networks of export credit for fossil and clean energy infrastructure: trends, persistencies, and policy options: Job no. UA31339

Underlying the Net Zero Emissions
scenario (NZE) is a transformation of
how and where energy finance is spent;
fossil fuel investments shrink from 25%
to 7% of total annual investment, while
spending on electricity generation more
than triples from USD 500 billion to 1,600
billion by 2030 (IEA 2021:A). The NZE
requires massive investment in green
infrastructure throughout Emerging
Markets and Developing Economies
(EMDEs), where the majority of forecasted
growth in global energy demand will
come from. The IEA emphasizes that
because energy projects in EMDEs tend
to be reliant on public financing, “policies
that ensure a predictable flow of bankable
projects have an important role in
boosting private investment.” (IEA 2021:B).
In this context, export-credit agencies
are a critical tool for policymakers to
accelerate the deployment of private
financing into renewable energy projects.