The transformation to greenhouse gas neutrality and climate resilience while simultaneously achieving the Sustainable Development Goals requires considerable investment in the Global South. Development banks such as the German Kreditanstalt für Wiederaufbau (KfW) have a special role to play in reducing the cost of capital for transformation and leveraging far more private capital.

Due to its size and importance, KfW plays an outstanding role in the protection of global public goods. It could and should play an important bridging role between public and private investors. This study examines which measures need to be implemented in order for KfW to consistently develop into a climate and transformation bank.

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