THE STATE OF GLOBAL AIR QUALITY FUNDING 2023

The State of Global Air Quality Funding 2023 7 TABLE 1.1: FUNDING FLOWS COVERED IN THE ANALYSIS OF INTERNATIONAL DEVELOPMENT FUNDERS Funding category Definition Example Outdoor air quality Finance committed to projects where Air pollution prevention funding (Chapter 2.1) improvements to outdoor/ambient programme air quality are a primary objective (usually explicitly stated in the project descript. [...] The State of Global Air Quality Funding 2023 13 The geographical concentration of outdoor air quality funding on a handful of Asian countries is due to the scale of financing provided by the Asian Development Bank (ADB); the Japan International Cooperation Agency (JICA); and the Asian Infrastructure Investment Bank (AIIB) which focus their investments in their own region and together committed 81%. [...] The State of Global Air Quality Funding 2023 20 BOX 2.1: PUBLIC TRANSPORT ELECTRIFICATION PLAN TO ADDRESS AIR POLLUTION AND CLIMATE CHANGE IN KOLKATA (INDIA) According to the WHO, Kolkata is the 20th most populated city in the world and ranks as the 2nd most polluted city in India. [...] The State of Global Air Quality Funding 2023 23 2.3 FUNDING WITH OUTDOOR AIR QUALITY CO-BENEFITS While the pool of funding that is explicitly working to improve outdoor air quality is limited, there is a larger bucket of international development finance which delivers outdoor air quality improvements as a co-benefit of the investment. [...] The State of Global Air Quality Funding 2023 38 Given the public-good nature of air quality projects and the leading role national governments play in driving national clean air agendas, sovereign bonds represent a further vehicle to raise funds for air quality projects from the public and financial institutions (in either local or foreign currency).