Timeline - Financing the climate transition

In 2024, the European Union and its 27 member states contributed €31.7 billion in climate finance from public sources and mobilised an additional amount of €11.0 billion of private finance to support developing countries to reduce their greenhouse gas emissions and adapt to the impacts of climate change.

The Council published the figures today, in preparation for the United Nations Climate Change Conference of the Parties (COP30 & CMA 7), which will take place from 10 to 21 November in Belém, Brazil.

• Council publishes 2024 international climate finance figures (press release, 27 October 2025)

The Council approved conclusions on climate financing in view of the 2025 UN climate change conference (COP30), taking place Belém on 10-21 November 2025.

In its conclusions, the Council notes its deep concern that 2024 was the warmest year on record, according to the findings of the World meteorological organisation 2025 decadal climate update.

The conclusions also reaffirm the EU and its member states’ commitment to the international collective goal of mobilising $100 billion per year in climate finance for developing countries and to call on third countries to contribute.

• Economic and Financial Affairs Council, 10 October 2025

In 2023, the EU and its member states contributed €28.6 billion in climate finance from public sources and mobilised an additional €7.2 billion in private finance to help developing countries to reduce their greenhouse gas emissions and adapt to the impacts of climate change.

The Council approved the figures today, in preparation for the 29^th Conference of the Parties to the UN Framework on Climate Change (COP29), which will take place from 11 to 22 November in Baku, Azerbaijan.

• Council publishes 2023 international climate finance figures (press release, 5 November 2024)

The Council approved conclusions on climate finance ahead of the United Nations framework convention on climate change (UNFCCC) meeting in Baku, Azerbaijan (COP 29).

In its conclusions, the Council stresses that the EU and its member states are committed to the current goal of developed countries to collectively mobilise $100 billion per year in climate finance until 2025.

• Climate finance: Council approves conclusions ahead of COP29 (press release, 8 October 2024)

In 2022, the European Union and its 27 member states contributed EUR 28.5 billion in climate finance from public sources and mobilized an additional amount of EUR 11.9 billion of private finance to support developing countries to reduce their greenhouse gas emissions and adapt to the impacts of climate change.

The Council approved the figures today, in preparation for the United Nations Climate Change Conference of the Parties (COP28), which will take place from 30 November to 12 December in Dubai, United Arab Emirates.

• Climate finance: Council approves 2022 international climate finance figures (press release, 23 November 2023)

On 23 October, Ministers adopted a regulation on the creation of European green bonds.

The regulation lays down uniform requirements for bond issuers that wish to use the designation ‘European green bond’ or ‘EuGB’ for bonds they claim are environmentally sustainable.

• European Green Bonds: Council adopts new regulation to promote sustainable finance (press release, 24 October 2023)

Negotiators of the Council and the European Parliament reached a provisional agreement on the creation of European green bonds (EuGB).

The new regulation aims to prevent greenwashing in the bonds market. Issuers of bonds will be able to demonstrate that they are funding green projects aligned with the EU taxonomy, whilst investors will be able to identify high-quality green bonds more easily.

• Sustainable finance: Provisional agreement reached on European green bonds (press release, 28 February 2023)

In 2021, the EU and its member states committed €23.04 billion in climate finance from public sources to support developing countries in reducing their greenhouse gas emissions and adapting to climate change impacts.

The Council approved the figure in preparation for the United Nations climate conference (COP27) in Sharm-el-Sheikh. The figure is based on the detailed EU climate finance reporting rules laid down in the governance regulation.

• Council approves 2021 climate finance figure (press release, 28 October 2022)

The Council approved conclusions underlining its strong commitment to deliver on climate finance, ahead of the United Nations climate conference (COP27) in Sharm-el-Sheikh.

In the conclusions, the Council recalled that the EU and its member states are the largest contributor to international public climate finance, and since 2013 have more than doubled their contribution to climate finance to support developing countries. The Council also called on other donors to step up their efforts, and it expects that the collective $100 billion per year climate finance mobilisation goal will be met in 2023.

• Climate finance: Council adopted conclusions ahead of COP27 (press release, 4 October 2022)

The Council agreed its position on European Green Bonds, one of the main instruments for financing investments related to green technologies, energy efficiency and resource efficiency as well as sustainable transport infrastructure and research infrastructure.

This regulation lays down uniform requirements for issuers of bonds that wish to use the designation ‘European Green Bond’ or ‘EuGB’ for their environmentally sustainable bonds made available to investors in the Union, and establishes a registration system and supervisory framework for external reviewers of European green bonds.

• Sustainable finance: Council agrees its position on European Green Bonds (press release, 13 April 2022)

In 2020, the EU and its member states committed €23.39 billion in climate finance to support developing countries in reducing their greenhouse gas emissions and adapting to climate change impacts.

The Council has approved this figure, which is based on new and more detailed EU reporting rules on climate finance, in preparation for the United Nations climate conference - COP26 in Glasgow.

• Council approves 2020 climate finance figure (press release, 29 October 2021)

The Council approved conclusions on climate finance, ahead of the United Nations climate conference (COP26) in Glasgow.

In the conclusions, the Council emphasises that the EU and its member states continue to strongly support the implementation of the goals of the Paris Agreement. The Council also highlighted its commitment to scale up the contribution to international climate finance and the need to improve the mobilisation of private finance.

• ECOFIN Council conclusions on climate finance (press release, 5 October 2021)

The Council issued a statement underlining the EU's contribution to the mobilisation of international climate finance.

Figures from 2019 confirm that the EU remains the largest contributor of public climate finance to developing countries, having contributed around 22 billion euros in 2019 and having more than doubled since 2013.

The statement also stresses the commitment of the EU to accelerate the green transition. The EU's recovery plan, Next Generation EU, and the long-term budget 2021-2027 also reflect this priority.

In the statement, the Council calls for all national, regional and multilateral finance institutions to continue and enhance their support.

• Council statement on international climate finance, 23 November 2020

Contributions from the EU and its member states to support developing countries in reducing their greenhouse gas emissions and coping with the impacts of climate change continued to rise in 2019, confirming a steady upward trend since 2013.

The climate finance support provided by the EU and its member states (the UK included) amounted to €23.2 billion in 2019, a 6.9% increase compared to 2018. The total without the UK stood at €21.9 billion, a 7.4% increase compared to the total for the EU 27 in 2018.

The climate finance contribution is seen as an important step in the implementation of the legally binding climate change agreement reached in Paris in December 2015.

• Climate finance: EU and member states' contributions continued to increase in 2019 (press release, 29 October 2020)

The Council adopted a regulation setting out an EU-wide classification system, or "taxonomy", which will provide businesses and investors with a common language to identify those economic activities which are considered environmentally sustainable.

The taxonomy will enable investors to refocus their investments on more sustainable technologies and businesses. It will be key to enabling the EU to become climate neutral by 2050 and achieve the Paris agreement's 2030 targets. These include a 40% cut in greenhouse gas emissions, for which the Commission estimates that the EU has to fill an investment gap of about 180 billion EUR per year.

The initiative is part of the implementation of the 2018 sustainable finance action plan.

• Sustainable finance: Council adopts a unified EU classification system (press release, 15 April 2020)

EU ambassadors endorsed a political agreement reached between Finland's presidency of the Council and the European Parliament on a EU-wide classification system, or taxonomy. The taxonomy will provide businesses and investors with a common language to identify what economic activities can be considered environmentally sustainable.

The taxonomy will enable investors to re-orient their investments towards more sustainable technologies and businesses. It will be instrumental for the EU to become climate neutral by 2050 and achieve the Paris agreement's 2030 targets. 

• Sustainable finance: EU reaches political agreement on a unified EU classification system (press release, 18 December 2019)

The Council adopted two regulations aiming at making finance greener, in line with the objectives of the Paris agreement on climate change.

The first reform introduces disclosure obligations on how financial companies integrate environmental, social and governance factors in their investment decisions.

The second reform creates new types of benchmarks aimed at giving greater information on an investment portfolio's carbon footprint.

• Capital markets union: Council adopts legislative reforms (press release, 8 November 2019)

EU ambassadors greenlit the Council's position on the proposal to create a unified EU taxonomy of sustainable economic activities. There is currently no common classification system at EU or global level which defines what an environmentally sustainable economic activity is.

• Press release, 25/9/2019

The Council presidency and the European Parliament reached a provisional agreement on the proposal introducing transparency obligations on how financial companies incorporate environmental, social and governance factors into their investment decisions.

• Press release, 7/3/2019

The Council presidency and the European Parliament reached a provisional agreement on the proposal creating a new category of low-carbon benchmarks aimed at providing more information about an investment portfolio's carbon footprint.

• Press release, 25/2/2019

EU ambassadors endorsed the Council's position on two proposals of the sustainable finance package:

• the proposal introducing disclosure obligations on how financial companies integrate environmental, social and governance factors in their investment decisions;
• the proposal creating a new category of financial benchmarks aimed at giving greater information on an investment portfolio's carbon footprint.

• Press release, 19/12/2018

In May 2018, the European Commission presented a package of measures as a follow-up to its action plan on financing sustainable growth. The package includes 3 proposals aimed at:

• establishing a unified EU classification system of sustainable economic activities ('taxonomy')
• improving disclosure requirements on how institutional investors integrate environmental, social and governance (ESG) factors in their risk processes
• creating a new category of benchmarks which will help investors compare the carbon footprint of their investments.

• Proposal for a regulation on the establishment of a framework to facilitate sustainable investment
• Proposal for a regulation on disclosures relating to sustainable investments and sustainability risks
• Proposal for a regulation amending Regulation (EU) 2016/1011 on low carbon benchmarks and positive carbon impact benchmarks
• Commission legislative proposals on sustainable finance