Post by PwC Luxembourg

At a time of geopolitical upheaval, macroeconomic shocks and accelerating climate pressures, the financing gap in development finance continues to widen. Multilateral Development Banks (MDBs) remain central to the global development agenda. With strong mandates and long-standing credibility, they play a key role in mobilising capital across emerging and frontier markets. Yet structural constraints persist, from limited balance sheet capacity to a lack of appetite for fresh capital injections, against an estimated US$4 trillion gap to meet the UN Sustainable Development Goals by 2030. In this context, securitisation is re-emerging as a scalable and increasingly relevant financing mechanism, enabling MDBs to expand lending capacity while preserving credit strength and capital discipline. The latest Strategy& paper explores this trend in more detail, its drivers and its broader implications for the market. Read it here 👉 https://lnkd.in/eiF2n-Xh Andrew Giddings, Elena Kazmina, Francesco Torlai