Global and European cooperation has become crucial in addressing the growing polarization and fragmentation in today's world. The recent summit of Finance in Common, a global network of public stakeholders in development finance, underscored the role of public development banks and institutions in channeling international financial flows towards sustainable investments. The summit emphasized the importance of tackling climate change and biodiversity loss, which are significant challenges facing society.
Nearly 600 representatives from banks, international organizations, governments, associations, research bodies, and other institutions gathered in Cape Town to exchange knowledge and optimize resource use. KfW participated as a development bank to expand partnerships supporting Sustainable Development Goals (SDGs). In South Africa, KfW focuses on climate protection projects such as renewable energy and water supply. Stefan Wintels, CEO of KfW Group, signed a contract with the City of Cape Town for a EUR 150 million loan to modernize the electricity grid. "We at KfW are pleased to support the City of Cape Town as a long-standing partner in improving the infrastructure of its environmentally friendly power supply," said Wintels.
KfW is also involved in urban development and violence prevention measures in South Africa. During his visit to Khayelitsha township, Wintels observed these initiatives firsthand.
Two notable KfW pilot projects were highlighted: the WIN initiative aims to mobilize EUR 12 billion by 2030 for venture capital growth in Germany; EMCAF is an innovative fund for climate protection investments launched by Allianz Global Investors and EIB. The fund was increased to EUR 450 million with contributions from KfW on behalf of German ministries.
KfW's commitment extends to European development cooperation through Team Europe partnerships with Spain (AECID), France (AFD), Poland (BGK), Italy (CDP), among others. Christian Krämer from KfW Development Bank presented how public development banks efficiently promote sustainable growth while addressing Europe's economic interests.
Finance in Common serves as an ideal platform for collaboration amidst global fragmentation, allowing KfW to leverage its expertise within national, European, and international partnerships.