International Relations : Financial And Trade Organisations

Q 2 / 15

UPSC CSE Prelims 2025

Which one of the following launched the 'Nature Solutions Finance Hub for Asia and the Pacific'?

EXPLANATION

Correct Option

The Asian Development Bank (ADB) launched the 'Nature Solutions Finance Hub for Asia and the Pacific' during COP28. This initiative aims to mobilize at least $2 billion for investment programs incorporating nature-based solutions (NbS), primarily by leveraging capital markets and private sector investment. The Hub's strategy includes implementing de-risking mechanisms such as guarantees, impact-linked payments, and blended finance options to enhance the attractiveness of NbS projects for investors. ADB is actively seeking approximately $1 billion in de-risking funds from global development partners to support this objective.

Incorrect Options

The Asian Infrastructure Investment Bank (AIIB), the New Development Bank (NDB), and the International Bank for Reconstruction and Development (IBRD) are all prominent multilateral development banks. While they are involved in various infrastructure and development financing activities globally, none of these institutions launched the specific 'Nature Solutions Finance Hub for Asia and the Pacific'. This initiative is solely attributed to the Asian Development Bank.

SOURCEThe Hindu/Indian Express/PIB 2023