CASE STUDY 8 IFC’s financing, advisory services and guidelines to support the emerging sector of blue finance Organizations: International Finance Corporation (IFC), Bank of Ayudhya. Description: IFC offers advisory and investment services and access to concessional finance and guarantees. In doing so, it mobilizes private capital and collaborates with development partners and the private and public sectors to build innovative, market-orientated and long-term solutions to solve infrastructure challenges in the water sector. For example, IFC’s Utilities for Climate (U4C) initiative offers access to IFC’s investment products, advisory services and a knowledge-sharing global network for participating utilities. U4C can support clients in areas such as preparation of climate change action plans, non-revenue water (NRW) reduction, energy efficiency and improved sludge management. Moreover, IFC offers several financing products, including debt, mezzanine and equity. IFC’s experts can support with the structuring and tendering of concessions, while managing technical, environmental and social risks. Its Scaling ReWater programme can help clients develop wastewater treatments or reuse existing infrastructure while mobilizing public, private and concessional capital. IFC has also facilitated the issuance of blue bonds in the East Asia Pacific region. For example, in 2023, IFC supported the Bank of Ayudhya in Thailand to issue the first such blue and green bond, subscribing $400 million, of which $50 million will support the development of the Bank’s eligible blue assets such as water supply. Finally, IFC has responded to the emerging sector of blue finance, which offers opportunities to safeguard access to clean water, protect underwater environments and invest in a sustainable water economy. Through financing instruments such as blue bonds and blue loans, IFC has raised and earmarked funds for investments in water and wastewater management. In 2022, IFC published the Guidelines for Blue Finance to facilitate the development of global standards for eligibility criteria for projects, making blue economy financing principles easier to understand by financial institutions, through practical guidance for blue bond issuances and blue lending. Sources: See endnotes.91,92,93CASE STUDY 7 Water funds for scalable investment opportunities across water resilience in Latin America Organizations: The Nature Conservancy (TNC), The Coca-Cola Company, Fundación FEMSA, Global Environment Facility (GEF), Inter-American Development Bank (IDB), International Climate Initiative (IKI). Description: TNC has engaged multiple, diverse stakeholders to bring together a variety of funding sources to create investment opportunities in the water sector. These collective funds share key characteristics and drive the implementation of natural infrastructure and innovative projects at the basin level, while offering an attractive mechanism of cost-effective investments in watersheds. Twenty-five different water funds have been created under the Latin America Water Funds Partnership, with contributors such as Fundación FEMSA, GEF, IDB and IKI. The water funds have involved public and private partners, aiming to catalyse additional watershed investment programmes, focusing on areas such as water conservation. Source: See endnote.90 Water Futures: Mobilizing Multi-Stakeholder Action for Resilience 35

Water Futures Mobilizing Multi Stakeholder Action for Resilience 2025