It could very well be the largest-ever reform by the World Bank if a string of countries succeed in their attempt to impose a climate reform on the organization, making it offer loans to developing countries through its member nations’ contributions.

The US and Germany have been adamant supporters of the reform, which is also backed by countries like Denmark.

The bank’s original purpose was to fund reconstructions after devastations from World War II, but today the bank battles poverty through loan extensions.

According to the coalition, poorer countries are most exposed to crises like climate, pandemics, and conflicts.

The ongoing changes to our climate reinforces poverty, food scarcity, and instability, particularly in countries that are already vulnerable.

And that is why the World Bank should allocate some of its major investments into green initiatives while keeping its focus on battling poverty throughout the world, the argument reads.

The bank does not have support schemes towards mitigation strides in the same was as other similar institutions.

Since the Paris Agreement was inked in 2015, the bank has extended just shy of EUR 14.1bn towards fossil fuel sourcing, shows an analysis conducted by a coalition of non-governmental organizations, called The Big Shift.

A reform has been long sought after by developing countries.

Their loans have skyrocketed following the pandemic as well as the food and energy crisis derived from the war in Ukraine. These crises curb the countries’ chance of investing in initiatives to cushion climate changes, which the countries are often particularly exposed to.

In 2022, the US encouraged the bank to ”evolve.” Together, US and Germany owns about a fifth of the bank.

The meetings on Thursday is the first step in the reform process, expected to be brought to a head at The World Bank’s annual assembly in October in Marrakech, Morocco.