Landscape shot of a large solar power plant in India while workers maintain the facility

Renewable Energy

    Briefing

    How KfW Supports Renewable Energy Abroad

    A sustainable transformation of global energy systems is necessary to combat climate change

    Reducing CO₂ emissions and reliably ensuring sufficient energy supply, both worldwide and in Germany: this can only be achieved through the development and promotion of innovative solutions and more intensive international cooperation. This benefits both the partner countries as well as the German and European economies. Renewable energies are considered a future market – technological possibilities are constantly improving, demand is growing, and costs are decreasing.

    KfW’s support for future technologies

    To accelerate the expansion of renewable energies on a global scale, KfW specifically finances future technologies. These include, for example, green hydrogen, photovoltaics, solar thermal energy, and onshore and offshore wind projects. In doing so, KfW always keeps in mind the interests of developing and emerging countries and their participation in tapping the potential of renewable energies.

    The potential of renewable energy

    To meet the globally growing energy demand with climate-friendly sources, the possibilities for producing and using renewable energies must be fully exploited. Natural energy sources such as sunlight, wind, water, waves, biomass, and geothermal energy offer enormous potential where available, especially in developing and emerging countries.

    Climate and environmental finance

    In 2025, KfW’s climate and environmental commitments – through its banking subsidiaries KfW IPEX-Bank and DEG and its Development Bank division – amounted to around EUR 14 billion (2024: EUR 12.6 billion). This represents just under 40 per cent of its commitments.

    Between 2021 and 2025, total commitments for climate and environmental protection financing amounted to around EUR 56 billion. (As of April 2026)

    KfW promotes energy efficiency

    Energy that is saved — i.e., not consumed in the first place — is the most climate-friendly form of energy. Savings and efficiency therefore reduce costs and greenhouse gas emissions. In mobility, buildings, industry, and public services, the potential for savings is significant in partner countries.

    Therefore, alongside investments in more efficient power systems in several partner countries, KfW supports a wide range of efficiency initiatives. KfW provides, for example, funding to enable municipalities, companies, and public utilities to invest in environmental measures. These projects increase energy efficiency, improve living comfort, and substantially extend the life cycle of buildings.

    Expansion of the hydrogen economy

    The global investment need for expanding the hydrogen economy is very high and is estimated to exceed EUR 2 trillion by 2050.

    KfW offers targeted and interlinked financing products to promote projects along the entire value chain of green hydrogen: from production through transport and storage to utilisation, including the necessary renewable energies.

    Germany’s dependency on hydrogen imports (over 70% of total demand) creates an additional mandate to support German investments as well as the establishment of viable hydrogen partnerships.

    KfW…

    • in 2025, financed renewable energy projects abroad with a cumulative capacity of 11.5 GW — a capacity that would cover Belgium’s annual electricity consumption;
    • specifically finances future technologies such as floating offshore and solar thermal projects. This increases the chances of accelerating the energy transition and advancing the decarbonisation of energy generation more rapidly;
    • participates in financing the world’s largest project for producing green ammonia in Saudi Arabia on an industrial scale (annual production of 1.2 million tonnes from the end of 2026), including its own wind and solar parks and electrolyzers from thyssenkrupp nucera;
    • finances green electricity for over 37 million people via its banking subsidiary DEG,, saving more than 14 million tonnes of CO₂ annually. Additionally, the companies indirectly financed via funds produce 8.9 terawatt-hours of renewable energy, primarily biomass, reducing emissions by another 6 million tonnes of CO₂ per year;
    • supports partner countries through KfW Development Bank in achieving their self-set climate goals. This will provide more than 1.3 million people access to modern energy supply, save over 1 million megawatt-hours of energy annually, and add more than 1,000 MW of renewable energy generation capacity in the coming years.

    Project examples

    Solar power from the desert
    Aerial view of a solar power plant in the desert

    Morocco is harnessing solar power to free itself from fossil fuels. On an area of 3,000 hectares, one of the world’s largest solar complexes has been developed in recent years. International financiers such as KfW support the energy transition, with many German companies on board.

    KfW Stories "Solar power from the desert"

    The first solar power plant in Côte d’Ivoire:electricity to 35,000 households
    Aerial view of a solar power plant in Africa set against a green landscape

    The solar power plant is a model project for expanding solar energy in Côte d’Ivoire. It is a key step towards increasing the share of renewable energies in the country’s electricity supply to 45% by 2030. The construction was carried out by a German-French consortium as general contractor. This project allows Côte d’Ivoire to benefit from European know-how, while simultaneously securing jobs in Germany and Europe.

    First solar power plant in Côte d'Ivoire"

    Transformation of the energy supply in Turkey
    Four wind turbines on a gentle hill

    KfW subsidiaries DEG and KfW IPEX-Bank are involved in financing the onshore wind farm project “Enerjisa YEKA-2” in Turkey, which comprises nine wind farms with a total capacity of 750 MW. The supplier and installer of the 180 wind turbines is the German manufacturer Enercon. Financing of around USD 1 billion comes from a consortium of seven commercial banks and development institutions. KfW IPEX-Bank is participating with USD 125 million. DEG provides USD40 million as a long-term loan. Large parts of the financing are structured as a “Green Loan”.

    Financing for the flagship wind farm project in Türkiye