World Energy Transition Spending Hits Record $2.3 Trillion in 2025

World Energy Transition Spending Hits Record $2.3 Trillion in 2025

February 10, 2026

Global investment in the shift away from fossil fuels reached $2.3 trillion in 2025, marking an 8 % increase over the previous year, according to the latest BloombergNEF Energy Transition Investment Trends 2026 report. This total — the highest ever recorded — includes spending to deploy clean and low-carbon technologies, boost supply chains, and finance climate-tech companies around the world.

The breakdown of the investment figures shows electrified transport leading the way with about $893 billion, driven by electric vehicle purchases and charging infrastructure build-out, followed by renewable energy projects attracting roughly $690 billion, and grid expansion efforts accounting for about $483 billion. Even though overall spending rose, investment in renewable energy itself declined nearly 9.5 % year-on-year, largely due to policy shifts in China’s power markets.

Investment in clean energy supply chains — including factories for solar panels, batteries and related equipment — also grew, reaching around $127 billion, while funding for battery storage and other emerging technologies expanded compared with the prior year. The report noted that private and public equity funding for climate-tech firms jumped significantly, alongside a notable rise in debt financing for transition projects.

Regional data highlighted that China remained the largest single market for energy transition spending in 2025, although its pace of investment slowed compared to previous years, while markets in the EU and the United States also recorded growth in funding. Analysts say that despite these record levels, the annual investment still needs to accelerate further to align with long-term climate and net-zero targets.