Climate Change Mitigation through Development Cooperation

The global climate crisis threatens natural and human systems, undermines past development achievements, and jeopardizes sustainable development as a whole. Without reducing emissions across all sectors, limiting global warming is unachievable.

Developing and emerging countries face significant challenges in funding the transition to low- or zero-carbon energy systems. International cooperation has the potential to facilitate sufficient investment in mitigating greenhouse gas emissions.

This study aims to provide independent, science-based evidence to support the reflection process of the BMZ core area strategy “Responsibility for our Planet – Climate and Energy,” planned for autumn 2024. It contributes to accountability and transparency in the use of public funds. The objectives are achieved by evaluating the relevance of mitigation-relevant development finance distribution and retrospectively examining effectiveness and overarching impact. The overarching goal is to enhance the relevance, effectiveness, and impact of German development cooperation in the area of climate change mitigation.

To address the study's questions, primarily macro-quantitative methods are employed. A portfolio and allocation analysis examines portfolio structure and influencing factors to generate evidence for strategic adjustments in portfolio and allocation structures. A macro-quantitative effects and impact analysis evaluates the impact indicators of German and international development cooperation using secondary observational data and statistical methods, such as panel regression analysis. Additionally, qualitative methods are applied in an evidence synthesis to provide comprehensive insights.