U.S. International Development Finance Corporation's 2021 Federal Climate Adaptation Plan

The U.S. International Development Finance Corporation's 2021 Federal Climate Adaptation Plan is a national cross-sectoral action plan of the United States. Its main objectives are to ensure that DFC can achieve its development mandate, DFC will prioritize investments in adaptation and resilience projects. To do so, DFC aims to invest in key sectors such as agriculture, forestry, renewable energy and water management. This effort feeds into DFC’s larger-climate goals; Prioritize advancing projects that mobilize additional climate finance and support adaptation and resilience efforts; diversifying a portfolio is a key strategy for reducing risk in any investment scenario, including adaptation and resilience. To create the diversified portfolio needed to reduce enterprise risks, DFC will not only focus on projects with a primary climate adaptation and resilience objective but can also pursue a broad array of commercially viable and sustainable projects that have adaptation and resilience as secondary objectives; DFC will integrate climate adaptation and resiliency into its portfolio and across its financial products. Integrating the consideration of climate risk analysis when screening and developing projects, including potentially during the development of a project’s risk score, is fundamental to DFC’s ability to advance climate adaptation investments; and integrate a climate lens to DFC deal flow and impact measurement processes and advance increased technical assistance for climate projects.