The first Conference on Transitioning Away from Fossil Fuels will take place in Santa Marta, Colombia, from April 24th to 29th. The event sets out to identify the key barriers to the energy transition, find solutions, and move toward effective implementation.

In this regard, the role of international financial institutions (IFIs), such as multilateral development banks (MDBs) and the International Monetary Fund (IMF), is worth noting. These fundamental agents are often called upon to help create the necessary economic and financial conditions to implement development and climate goals.

These IFIs hold the power to shape global economic discourse and dictate which policies are considered “sound” and sustainable, in addition to offering financial tools such as conditional loans to governments, climate finance, and energy investments. Therefore, IFIs have a major influence on the Santa Marta conference’s three priority pillars:

• Overcoming economic dependence;
• Transforming supply and demand;
• Advancing international cooperation.

Developed in collaboration with Recourse and other organizations such as Afrodad, Big Shift Global, Indus Consortium, and Power Shift Africa, this briefing provides concise insights into how IFIs can either enable or undermine a just transition. It also explores the role of policymakers in reforming these institutions to meet the conference’s goals.

The implementation of the vision created in Santa Marta will be up to policymakers, both in individual countries and in international coordination spaces like the IFIs.