Environment Topic Brief

  Introduction   Portfolio Overview   Environment Challenges     Pollution Management   Natural Resources Management   Regional and Global Environment   Environmental Management Capacity

The East Asia and Pacific region is growing faster than any other region. While rapid economic growth has contributed to significant improvements in human welfare, it has also led to profound socio-economic changes and serious environmental implications, such as air and water pollution, rapid depletion and degradation of natural resources, and the rapid loss of the region’s rich biodiversity endowment. These changes, in turn, affect people’s health, livelihood, and security, and compromise the potential for sustained growth and its benefits for future generations. Recent trends such as increasing regional integration and globalization have introduced new challenges with wide ranging implications – not least for the environment.

The World Bank East Asia and Pacific (EAP) Region’s environmental assistance to its client countries is summarized in this Environment Strategy. 

Portfolio Overview

The World Bank's active Environment and Natural Resource Management (ENRM) project portfolio in the East Asia and Pacific (EAP) region is well-diversified among environmental issues. Pollution and water resource management continue to be  the largest components in the current portfolio, representing more than a half of all outstanding commitment amounts (see figure).  

The current portfolio stands at $5.15 billion, with $498 million in new lending. China accounts for more than 80 percent of EAP ENRM investment, with a total of $4.4 billion, whereas the combined portfolio in other EAP countries amounts to around $800 million.

Environment Challenges

Our work focuses on four key environment challenges faced by our clients:

1. Pollution, especially poor air quality and low access to clean water, sanitation and solid waste collection/disposal.
2. Natural resource degradation, including deforestation, land degradation, loss of biodiversity and increasing water scarcity.
3. Regional and global environment challenges, including chemical pollution and climate change.
4. Environmental management capacity and environmental information.

1.  Pollution Management

A major focus of our assistance is on urban air pollution. In China alone, the number of people estimated to be dying from air pollution is estimated to be between 0.2 and 0.5 million people annually. EAP supports the regional Clean Air Initiative for Asian Cities, which promotes innovative ways of addressing this problem. In Vietnam, we are helping to expand urban public transport and to improve energy efficiency. In China, we are addressing both issues, while also helping to substitute gas for coal and to promote renewable energy.

In additional, EAP invests almost $1 million of the World Bank's resources every year in water supply, sanitation and solid waste management projects throughout the region, and provides world-class technical assistance to strengthen national capacities. 

2.  Natural Resources Management

We have a large portfolio of forest management, land degradation, water resource and biodiversity conservation projects that are serving almost every major country in the region. We also provide strategic natural resource management advice to all of our clients. China, Cambodia and Vietnam are the largest recipients of our forest management assistance. Our land degradation projects, such as China Loess Plateau, are among the world’s most innovative and successful projects. We are also helping to conserve biodiversity in Laos, Cambodia, Indonesia, Vietnam and China.

3.  Regional and Global Environment

The Mekong River Basin is the main focus of our sub-regional environment assistance work. In the global arena, we are the region’s biggest provider of Global Environment Facility (GEF) assistance; we manage the world’s largest ozone depleting substance (ODS) phase-out program; and we are helping several of our clients to close their first carbon finance projects and to learn how to benefit from the Kyoto Protocol's Clean Development Mechanism.

4.  Environmental Management Capacity

Environmental capacity-building is provided through projects, analytical work, and technical assistance. In some cases, such as China, the Bank has developed a long-term program of analytical support that has helped to guide the national environmental agenda. We help client countries to strengthen environmental information systems and ensure that all World Bank environment and poverty alleviation projects are consistent with internationally accepted principles and agreements on environment and social development and with global best practices.

More information:
  Carbon Finance: This World Bank website contains information on carbon finance initiatives.
  World Bank environmental assistance in EAP: Focus Areas and Projects and Programs.

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