By Mary Albon, IAEA Office of Public Information and Communication
One year ago, the IAEA and the World Bank Group (WBG) signed a partnership agreement to support the safe, secure and responsible use of nuclear power for development.
This landmark agreement marked the WBG’s formal reengagement with nuclear power after a decades-long pause, signalling a broader shift that other international financial institutions have begun to follow. The agreement reflects a growing recognition of the role that nuclear power can play in supporting energy security and long-term economic growth.
The IAEA and the WBG agreed to work together in three key areas:
*Building nuclear knowledge within the WBG to support decision making on nuclear financing
*Supporting the long-term operation of existing nuclear power plants
*Accelerating the development of small modular reactors (SMRs)
*Growing Demand for Electricity
Today, over one billion people live without electricity or lack reliable power. Expanding access to electricity for everyday needs is vital for development, and reliable baseload electricity from nuclear power supports sectors that drive growth and employment, including infrastructure, agriculture, healthcare, and manufacturing. Nuclear power also creates high-skilled jobs and can stimulate investment across the broader economy.
According to the World Bank Group, emerging economies will account for almost two-thirds of global electricity needs by 2035. To meet this growing demand, annual investment in power generation in developing countries must more than double, from US$280 billion today to US$630 billion.
According to the IAEA’s Power Reactor Information System (PRIS), as of 1 June 2026, 415 reactors were in operation worldwide, providing 379.0 GW(e) of nuclear capacity and supplying electricity to millions of people worldwide. Global momentum continues to build behind this clean and secure source of energy: in the high case projection, the IAEA estimates that global nuclear operational capacity will more than double by 2050 – with small modular reactors (SMRs) expected to play a pivotal role in this expansion.
Nuclear power offers a lifeline, but financing its production is a major impediment for many countries.
Partnership in Action
In the year since the IAEA and the WBG signed their partnership agreement, their focus has been on putting joint priorities for nuclear energy into action.
IAEA Director-General Rafael Mariano Grossi has briefed senior officials from the WBG and other multilateral development banks on nuclear power and nuclear applications supporting health and development; the IAEA has held informational sessions on nuclear power for WBG staff, including a group of 200 during WBG Energy Week; and several technical meetings have been convened on issues such as the safety aspects of long term operation and the key elements needed to assess WBG financing for nuclear activities.
In January, the IAEA hosted a workshop at its Vienna headquarters on expanding cooperation to other international financial institutions and multilateral development banks. The focus was on clarifying roles, aligning technical and regulatory expectations, and delivering concrete support to help countries pursue nuclear energy in line with IAEA standards for safety, security and non-proliferation.
Senior experts from the WBG, the European Bank for Reconstruction and Development, the Asian Development Bank and the OPEC Fund for International Development explored how such organizations might finance the technical groundwork that is often needed before decisions to invest in nuclear energy can be made — such as feasibility studies for SMRs, early-stage infrastructure development, radioactive waste disposal planning and stakeholder engagement. They also discussed how policy-based financing could support adoption of international treaties and the incorporation of nuclear safety, security and safeguards commitments into national law.
