Borrower
Government, eligible public body, company or intermediary
Funding field guide
Development banks: connect the investment to a viable borrower.
A climate benefit matters, but so do the sponsor’s authority, the project’s economics and the ability to implement and repay. Public and private-sector routes need different preparation.
Start here
Is this a plausible route?
Reviewed 26 September 2026
Multilateral, regional and national development banks can support public investments and private businesses through different products. First establish who borrows or receives support, who owns the assets and which institution can finance that type of client.
Key evidence
Feasibility, repayment/fiscal capacity and delivery
Terms
Depend on institution, country, product and risk
Access
Who takes the proposal forward?
Choose the client route
Identify the legal sponsor and borrower. Check country strategy or sector fit and the appropriate public- or private-sector team.
Prepare and appraise
Develop the technical solution, economic case, financial model and risk studies. Agree the responsible implementation institutions.
Approve and contract
Resolve financing terms, approvals and conditions. Confirm procurement, environmental/social, disclosure and reporting obligations.
Implement and operate
The borrower or agreed executing body delivers the project. Monitor expenditure, outputs, outcomes, asset performance and debt-service obligations.
Start with World Bank — project cycle.
Preparation
What to prepare before a full proposal
Authority and ownership
Confirm the borrower’s legal power, permits, asset ownership and any sovereign guarantee or public approvals needed.
Economics versus cash flow
An economic case values benefits to society. A financial case tests actual cash available for costs and repayment. A strong result in one does not establish the other.
Costs and downside cases
Include operation, maintenance, replacement, contingencies and financing costs. Test demand, tariffs, interest/currency exposure and climate disruptions.
Systems that can deliver
Prepare procurement and implementation arrangements, financial management, environmental/social risk management, consultation and a credible results system.
Make a simple readiness list: for each item, record the evidence available, the unresolved question, the responsible person and the next decision. This is an advisory checklist, not an official application form.
Borrower and product
Choose the public or private route deliberately
| Route | Core preparation question | Entry point |
|---|---|---|
| Public / sovereign investment | Is there country ownership, an authorised borrower, a sound economic case and an institution able to deliver? | The relevant country programme and responsible public institutions; the borrower prepares and implements with Bank support. |
| Private investment — IFC example | Is the project technically sound, commercially viable, beneficial to the local economy and consistent with environmental/social requirements? | An investment proposal describing sponsor, market, technical and financial information. Check IFC’s criteria and suitable client route. |
World Bank — project cycle; IFC — how to apply for financing
For applicable World Bank Investment Project Financing, prepare for the Environmental and Social Framework and borrower procurement requirements. Do not automatically apply that rulebook to every World Bank instrument or another development bank. World Bank — Environmental and Social Framework; World Bank — procurement framework
Put it into practice
A municipal water network
Illustrative example · This explains preparation choices; it is not an approved or available funding offer.
Improved service can create substantial social benefits while tariff income remains inadequate for debt service. The financing structure may need a credible public contribution or a different product. Resolve who pays for operations and repayment before presenting the investment as financially viable.
Common questions
Questions worth resolving early
Can an individual entrepreneur apply directly to IFC for a small loan?
IFC says it does not lend directly to micro, small and medium enterprises or individual entrepreneurs; financial-intermediary clients may on-lend. Identify the suitable institution and product first.
Are World Bank safeguards the rules for every bank loan?
No. The Environmental and Social Framework applies to relevant World Bank Investment Project Financing. Other World Bank instruments and other institutions have distinct provisions.
Is a green label enough to obtain favourable terms?
No. Creditworthiness, project risks, institution mandate and product conditions still matter. Evidence is needed for both the climate claim and the financing structure.
Official sources
Read the guidance for the decision you are making
Reviewed 26 September 2026. The notes distinguish retrieved documents from official indexed extracts and unresolved details. Our diagrams and examples explain preparation choices; they are not official approval charts.
- World Bank — project cycle
Borrower and Bank roles, preparation/appraisal and financing-specific risk frameworks reviewed.
- World Bank — Environmental and Social Framework
Ten borrower standards for applicable Investment Project Financing; not a universal rulebook for all banks or instruments.
- World Bank — procurement framework
Current borrower procurement framework, standard documents and guidance for Investment Project Financing.
- IFC — how to apply for financing
Project criteria and investment-proposal outline reviewed; IFC does not directly lend to micro/small/medium enterprises or individual entrepreneurs.
Work with the practice
Turn the guide into a useful next step
Start with a non-confidential description of the country, project owner, climate problem and decision needed. We can help organise the evidence and compare preparation options; the fund or financier decides access and approval.
