World Bank Calls for $30 Trillion Investment to Achieve 2050 Emissions Targets

The World Bank has issued a strong call for an additional $30 trillion in investments to meet global net-zero emissions targets by 2050.

In its newly released “Net-Zero Industry Tracker 2024 Edition,” the international financial body warned that without this crucial capital injection.

These industries, vital to the global economy but notoriously difficult to decarbonize, require substantial funding to transition to low-carbon alternatives and achieve the ambitious emissions reduction goals set for 2050.

The World Bank’s report stressed that the investment gap is a major roadblock in the path to reaching net-zero targets.

ATTENTION: Click “HERE” to join our WhatsApp group and receive News updates directly on your WhatsApp!

“To remain on track for net-zero targets, an estimated $30 trillion in additional capital will be required by 2050 for these sectors. This represents about 45 percent of the total incremental investment needed for the global net-zero transition by 2050,” the report stated.

“Sectors must generate returns sufficient to attract investments in energy transition initiatives, which represent an 80 percent increase in investment compared to current levels,” the World Bank noted.

The financial institution also highlighted the significant barriers facing these industries, which range from high operational costs to the lack of commercially viable technologies that can substantially cut emissions.

The World Bank observed that this investment gap is exacerbated by the limited capacity of these sectors to bear the substantial costs of transitioning while maintaining profitability.

READ ALSO: Genital Herpes Affects 1 in 5 Adults Worldwide – WHO 

One promising solution pointed out in the report is the potential role of emerging technologies, such as artificial intelligence, in reducing transition costs.

The World Bank suggests that generative AI could enhance capital efficiency by 5–7 percent, potentially lowering capital requirements for hard-to-abate industries by $1.5 to $2 trillion.

The global body emphasized that many of the industries in question are already operating on thin profit margins, making the task of raising the necessary funds even more challenging.