COP28 Mobilises Over $57 Bn In Four Days To Tackle Climate Action
In a demonstration of global solidarity, governments, businesses, investors, and philanthropies have contributed over USD 57 billion across the climate agenda in just the first four days of COP28.
After an agreement to operationalize a fund for climate impact response on day one, declarations have poured in across the entire climate agenda, including finance, health, food, nature, and energy.
"We are here because we very much believe in and respect science. Forty-three per cent of global emissions must be reduced by 2030. That’s 22 gigatons. And we need to make that happen to keep 1.5°C within reach," said Al Jaber, President of COP28.
On climate finance, the UAE has introduced a USD 30 billion catalytic fund, ALTÉRRA, with an emphasis on unlocking private finance across the Global South. The country has also put forward USD 200 million for SDRs and USD 150 million for water security.
In addition, the World Bank has increased USD 9 billion annually to finance climate-related projects. In the first 48 hours of COP28, after an important response to loss and damage was operationalized, USD 725 million has already been pledged.
"The World Bank's commitment to an annual increase of USD 9 billion for climate-related projects signifies a significant financial boost for sustainable development," said Ajay Banga, President of the World Bank. He added that COP28 is a very important conference because it’s not just bringing people together but providing certainty about the deadline that everyone wanting to make any real commitment must adhere to.
"We took early and decisive action to operationalize the Loss and Damage Fund and have seen commitments of over USD 720m for the fund and funding arrangements. There was a USD 12.5 billion replenishment of the Green Climate Fund– the largest ever in history," said the Director-general of COP28, Majid Al Suwadi.
In addition, USD 3.5 billion has been put forth to replenish the Green Climate Fund, USD 2.7 billion has been pledged for health, USD 2.6 billion has been committed to food systems transformation, USD 2.6 billion has been pledged to protect nature, USD 467 million has been pledged for urban climate action, and USD 1.2 billion has been committed for relief, recovery, and peace.
On energy, USD 2.5 billion was mobilised for renewables, and USD 1.2 billion for methane emission reduction. Additionally, USD 568 million was pledged to drive investments in clean energy manufacturing. In total, over USD 57 billion has so far been informed in the first four days.
In addition, new pledges and declarations made at COP28 have received historic support. Notably, eight new declarations have been put forth that will help transform every major system of the global economy.
These include the first-ever declarations on food systems transformation and health, plus declarations on renewable energy and efficiency, as well as initiatives to decarbonize heavy-emitting industries.
