The IKI year 2025 in figures
All the key facts and figures on the International Climate Initiative (IKI) in a nutshell.
Via the IKI, the German Government seeks to maximise its impact for climate change mitigation and the conservation of biodiversity. In 2025, the IKI was able to almost fully disburse its allocated budget line of EUR 635 million. This includes the funds that were made available to the IKI for the year in the Federal Budget. Expenditure for ongoing and new projects amounted to EUR 632 million. Commitments in 2025 reached a total of EUR 507 million. Commitments are understood as being the funds to which the German Government has legally committed itself towards third parties in the respective financial year. They comprise both expenditure and commitment appropriations. This also includes payments made into the International Climate and Biodiversity Fund, as well as commitments for the IKI Medium Grants, the IKI Small Grants and the Mitigation Action Facility.
IKI budget 2008-2025
2025 funding commitments by funding areas
Commitments were spread across the following areas (rounding differences possible):
- EUR 223 million for ‘Mitigating greenhouse gas emissions’ (Funding Area I)
- EUR 79 million for ‘Adapting to the impacts of climate change’ (Funding Area II)
- EUR 80 million for ‘Preserving and restoring natural carbon sinks’ (Funding Area III)
- EUR 125 million for ‘Conserving biological diversity’ (Funding Area IV)
All IKI funding is assigned solely to finance commitments for greenhouse gas mitigation and/or adaptation to the impacts of climate change as made by Germany in the context of international agreements. It therefore constitutes 100 per cent climate finance. Funding under IKI Funding Area I is primarily intended for greenhouse gas mitigation, while funding under IKI Funding Area II is primarily intended for climate change adaptation. Funding under Funding Areas III and IV are allocated either entirely to mitigation, entirely to adaptation, or 50 per cent to each category.
2025 funding commitments by region
Commitments were distributed across the various regions as follows (rounding differences possible):
- Global: EUR 292million
- Central and Eastern Europe, Central Asia and Turkey: EUR 12 million
- South Asia, Southeast Asia and the Pacific (Asia): EUR 58 million
- Sub-Saharan Africa (Africa): EUR 13 million
- Central and Latin America and the Caribbean: EUR 132 million
Funding commitments in 2025 according to prioritised fields of action of the IKI strategy
Funding area: Mitigating greenhouse gas emissions
- Decarbonisation of industry: EUR 45 million
- Energy transition: EUR 67 million
- NDCs and LTS: EUR 1 million
- Mobility transition: EUR 21 million
Funding area: Adapting to the impacts aof climate change
- National adaptation plans: EUR 3 million
- Ecosystem-based adaptation: EUR 9 million
- Resilience and security: EUR 2 million
Funding area: Preserving and restoring natural carbon sinks
- Ending deforestation and land use changes: EUR 63 million
- Peatland protection: EUR 1 million
Funding area: Conserving biological diversity
- Mainstreaming of biodiversity: EUR 35 million
- NBSAPs incl. promotion for IPLCs: EUR 1 million
- Habitat protection: EUR 58 million
Overarching priorities
- Financing the socio-ecological transformation: EUR 69 million
- Support for international negotiation processes: EUR 2 million
- Sustainable and climate-friendly development of urban areas: EUR 24 million
The IKI is currently working on revising the criteria for attribution to the individual fields of action. The current evaluation still takes place on the basis of the individual assessments of the project supervisors.
Commitments to the Adaptation Fund for 2025 have also not been listed. They can either not yet or generally not be precisely assigned to a field of action. Furthermore, individual IKI projects are working in important thematic fields that do not match a prioritised field of action.
2025 funding commitments by funding instruments
The IKI supports its partner countries by means of three funding instruments. Within the scope of IKI Compete, the IKI uses ideas competitions, also referred to as calls, to implement large, medium and small projects, supported by IKI Large Grants, IKI Medium Grants and IKI Small Grants. The IKI pays contributions into funds and participates in multilateral initiatives via IKI Invest. The IKI also works bilaterally in specific areas with 14 focus countries.
Commitments are distributed across the funding instruments as follows:
- IK Compete: EUR 231 million
- IKI Invest: EUR 208 million
- IKI Strategic Action: EUR 68 million
IKI Calls in 2025 – an overview
Within the scope of the IKI Compete funding instrument, the IKI launches various calls each year. This competitive model for the funding programme as well as the inclusion of NGOs as implementing organisations are key features of the IKI that set it apart from conventional approaches to development cooperation. A further difference is that IKI funds are not channelled to government institutions in the partner countries (more information about the IKI-funding philosophy).
The IKI launched three new calls in 2025. Detailed information can be easily accessed by clicking on the relevant calls.
Project progress and outcomes in 2025
Alongside the new ideas competitions, further progress was also made in projects already selected in previous calls.
In 2025, a total of 75 new IKI projects started their work. 53 of them were selected as part of the various IKI Compete calls, while nine more were launched under IKI Invest. Six funding institutions have concluded Grant Agreements with IKI Small Grants under the funding line “Funding the Funders” and have started implementing their projects. One organisation is receiving support as part of a co-funding venture together with Global Affairs Canada.
Of the project ideas submitted for the 2024 Thematic Call, eleven were asked to prepare detailed project proposals. The same applied to two project ideas from the 2024 country call for Colombia, as well as to eleven project ideas that had been submitted for the fourth call of the IKI Medium Grants. The project selection from the sixth IKI Small Grants international call was reviewed in 2025 and proposed to the German Government for funding. As part of a third funding call under the funding line ‘Funding the Funders’, eligible funding institutions were preselected and proposed to the German Government for funding. The funding decisions will be made in 2026.
Work was completed on 75 projects, so that 354 projects were in the implementation phase at the end of the reporting period.
IKI projects
started in 2025.
IKI projects
successfully completed their work in 2025.
Figures from project work: from project selection to evaluation
Effective, long-term climate change mitigation and biodiversity conservation cannot be provided simply by funding alone. The emphasis the IKI places on competition ensures that only high-quality project proposals are implemented. To this end, 2,211 outlines were reviewed by ZUG, and/or IKI Small Grants proposals by GIZ and the IKI ministries in all IKI Calls in 2025. In addition, both organisations use a multistage process to monitor the technical progress of the projects and verify the due and proper use of funding. For this purpose, 347 mid-term reports and interim documentation, as well as 121 final reports and funding records were reviewed in 2025.
interim reports
were audited by the IKI Office at ZUG and GIZ in 2025.
submitted project outlines
were audited by the IKI Office at ZUG and GIZ (ISG) in 2025.
To learn from previous projects and to assess the goals achieved or expected, as well as their impacts, the IKI uses a number of evaluation instruments. These include retrospective final reviews to assess project success, mid-term evaluations focusing on learning and the further development of the project, supportive impact evaluations to document long-term impacts as well as strategic evaluations of issues that could be of interest to multiple projects. In 2025, twenty mid-term evaluations were in the implementation phase and nine were completed. Furthermore, two supportive impact evaluations were continued.
IKI Annual Report 2025
This article is part of the IKI Annual Report 2025.
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