The Trump administration has moved forward with a US$4.7 billion loan from the US Export-Import Bank for a massive new liquefied natural gas (LNG) project in Mozambique. Backed by several European governments, the project includes offshore drilling wells, offshore pipelines, and port facilities. The news comes as climate scientists warn that new investments in fossil fuel production will derail attempts to mitigate carbon pollution, and as public financial institutions face growing pressure to shift their money out of fossil fuels and into renewable fuels and technologies. So, can export credit agencies – a particular type of government-owned bank – be used to fund renewable energy exports? Our research suggests that while turning off the tap for fossil fuels can be done quickly, financing renewables faces several hurdles.
Can public banks fund renewable energy exports? | Lowy Institute
