Bottom Line Impact

The US International Development Finance Corporation (DFC) removed its ban on financing nuclear technologies in July 2020. The Hub was the first to pitch the policy idea to DFC leadership in April 2019 and then worked with ClearPath, Third Way, and other allies to cultivate support across the executive branch, on the Hill, and climate and development advocacy groups. This seemingly small policy adjustment entirely changed the conversation — and the array of technologies — the United States can invest in to help frontier and emerging countries meet shared development and climate goals.

Why It Matters

Promising advanced nuclear technologies offer smaller, safer, scalable zero-carbon power well suited to fast-growing emerging markets. Small modular reactors, for example, could be attractive for remote mining operations in Indonesia or to replace gas-fired power in Ghana. Advanced nuclear technology could help build high-energy power systems that support economic growth and keep emissions low. At most development banks, including the DFC, funding for nuclear had long been restricted by policies written for another era. The change in DFC’s policy expands countries’ access to advice, technical assistance, and finance — and gives the United States a leading role in ensuring evolving nuclear markets are safe and competitive.

What We Did

• Proposed the idea to DFC leadership. The Hub was the first to raise the idea of removing the ban on financing nuclear energy projects with DFC’s then-acting CEO David Bohigian and EVP Edward Burrier in April 2019, and then again with incoming CEO Adam Boehler before he assumed office in October 2019. We pitched DFC’s leadership directly on removing the nuclear ban, how it could work, and why it would help the United States meet its national security goals.
• Made the case to US officials. We explained why such a rule change was needed now, why nuclear technology wasn’t only for rich countries, and why the newer models might be especially useful to poor countries.
• Cultivated broad political support. We worked closely with allies including ClearPath, Third Way, and the Nuclear Innovation Alliance to build support across the executive branch, with both Democrats and Republicans in Congress, and among climate and development advocates.

Big Win: DFC removes the outdated ban on nuclear technology investments.

The DFC lifted its outdated ban on nuclear technology investments in July 2020. This pro-climate, pro-energy, pro-development, and pro-technology policy change has entirely changed the conversation about the tools and technologies the United States can consider investing in to help countries meet shared development and climate goals. Adam Boehler, CEO of DFC at the time, said the change “positions DFC to accelerate growth in developing economies with limited energy resources.” The DFC has since signed letters of intent for potential nuclear projects in Ghana, South Africa, Poland, and Romania, with others in discussion.

Key Partners

• DFC senior officials, including Adam Boehler, Dave Bohegian, Edward Burrier, and Wells Griffith.
• Jessica Lovering, Postdoctoral researcher and the Hub’s go-to Fellow on nuclear technology.
• Jackie (Kempfer) Siebens and Josh Freed, our nuclear policy partners at Third Way.
• Rich Powell and Cole Simons, allies at ClearPath who helped build support among U.S. conservatives.
• Ashley Finan at the Nuclear Innovation Alliance.
• Many unnamed senior officials inside the White House and on Capitol Hill.

Learn more about our work on advanced nuclear and our analysis of DFC.

Related Insights:

• Our work on advanced nuclear energy technologies.
• Our work on DFC.
• The Hub’s impact stories on lifting nuclear bans at the World Bank and the Asian Development Bank.
• Our latest Advanced Nuclear Map with Third Way identifies future nuclear export markets.
• Our regional analyses on which countries are ready for nuclear in Africa, South Asia, the ASEAN region, and the Caribbean. We’ve also analyzed country-specific nuclear developments in Ghana and the UAE.
• Daniel Johansson and Hamna Tariq on advice for nuclear-aspirant countries in Africa.
• Marli Kasdan and Daniel Johansson on which development finance institutions should lift their nuclear bans next.
• Jessica Lovering and Hamna Tariq on debunking security risks from nuclear development and exports in emerging markets.
• Hamna Tariq and Marli Kasdan on the global race for nuclear energy agreements.
• Daniel Johansson, Marli Kasdan, and Todd Moss on which advanced nuclear models are likely to hit emerging markets first.
• Jessica Lovering asks if nuclear power is only for wealthy countries.
• Todd Moss and Jessica Lovering on six reasons the DFC should lift its ban on nuclear projects.
• Jessica Lovering on how advanced nuclear technologies could accelerate development and deployment across Africa.