Igor Shishlov: Europe doesn’t need more slogans – it needs institutional realism

In a recent interview, our Head of Climate Finance, Igor Shishlov, discusses how the EU’s climate leadership is entering a critical test phase as geopolitical tensions rise and energy security challenges mount.

From the war in Ukraine to the global competition for transition minerals, the EU has made difficult compromises, including a temporary return to fossil fuel infrastructure. Yet these same pressures have also accelerated its structural shift toward energy sovereignty and renewables. Igor argues that to lead credibly in this new landscape, Europe must ensure greater coherence between its domestic choices and its external climate commitments. Nowhere is this more evident than in the realm of export finance. Export Credit Agencies have long been a pillar of fossil fuel diplomacy – promoting national industries through carbon-intensive investments. But today, they can become engines of transformation, provided they shift toward renewable energy, embed social safeguards, and prioritize access for low-income countries. Climate finance more broadly, as Igor reminds us, is no longer just a development tool – it’s a core instrument of 21st-century soft power.

For the EU to remain a trusted partner to the Global South, it must offer transparent, accessible, and equitable finance – especially in the form of grants and concessional loans.
The interview was published in the ESG Special Edition of Dimokratia. Read the full interview in English or the original in Greek.