Saravanan Dhalavoi’s Post

🌍🌱 COP29 is just around the corner, taking place in Baku from November 11-22. Expect the New Collective Quantified Goal (NCQG) on climate finance to lead discussions, alongside a focus on updated national climate commitments. Stephanie Pfeifer OBE, IIGCC CEO, recently published an open letter calling on the NCQG to: "include clear recognition of the private sector's role." Updated and improved Nationally Determined Contributions (NDCs) will also be high on the agenda at 'The Finance COP'. Improved and more investable NDCs can be a powerful tool to attract private investment in emerging markets and developing countries. Our latest insight explores these key issues and what they might mean for investors, outlining our recommendations for the NCQG. https://lnkd.in/e5F5wytx #SustainableFinance #COP29 #FinanceCOP #NDCs #NCQG

London’s role as a global hub for sustainable finance shines as #COP29 highlights transition finance needs. As nations set ambitious climate finance goals, all eyes are on private sector funding to close the gap toward #NetZero.

🌍 At COP29 in Baku, a groundbreaking report from the Independent High-Level Expert Group on Climate Finance highlights an urgent call: to meet the Paris Agreement’s goals, the world must mobilise USD 1 trillion annually by 2030 to support climate action in emerging markets and developing countries (excluding China). This target will rise to USD 1.3 trillion by 2035. 🌍 The report said delayed action will amplify future financial burdens and compromise global climate goals. To bridge this critical gap, it lays out four key pillars for financing transformation: 1️⃣ Triple Annual Climate Finance Pledges: Advanced economies should triple the 2009 climate finance pledge to USD 300 billion by 2030. 2️⃣ Expand MDB Capacity: Multilateral Development Banks, such as the World Bank, must triple lending capacity by 2030. 3️⃣ Private Sector Investment: The private sector is expected to provide about half of the necessary external financing, especially for renewable energy. 4️⃣ Strengthened South-South Cooperation: Enhanced financial contributions from key developing countries and South-South collaboration will be crucial for resilient and sustainable development. With climate costs projected to reach USD 6.3–6.7 trillion annually by 2030, this report underscores the importance of timely action. Key investment areas like Clean Energy, Adaptation, and Sustainable Agriculture require urgent attention to avoid severe climate and financial impacts. As global climate champions, we must embrace these recommendations, advocate for innovative financing mechanisms, and ensure a sustainable future for all. https://lnkd.in/gmh2a2wt 🌱 #COP29 #ClimateFinance #ParisAgreement #SustainableDevelopment #ClimateAction

💡 Finance took centre stage at Bonn climate meetings, with negotiations on the new global climate finance goal featuring heavily. The New Collective Quantified Goal (NCQG) will likely be a defining issue at COP29 in Baku. While primarily a public finance commitment, a bolder, more ambitious approach to the NCQG can send strong signals to the international finance system. Our message going forward is that to be most effective, the delivery of finance must be considered on a case-by-case basis, with access remaining a key issue for investors. ⚖ The next set of Nationally Defined Contributions (NDCs) was also a recurring theme. Active engagement from the private sector will be key in pushing progress and ambition for national climate goals and climate finance commitments alike. Familiar arguments in global negotiations meant slow progress on finance discussions with no concrete agreements. Nonetheless, there was a willingness to find common ground ahead of the next round of talks, on areas including transparency. 📄 Read the full article from Arianna Griffa, Senior Policy Manager – Global: https://lnkd.in/g44-w9gG #NDCs #NCQG #COP29 #Bonn #ClimateChange

Excited to be heading to Baku / COP 29 next week ... this article provides a good overview of the upcoming conference and key topics for discussion: "Key priorities for the negotiations include The New Collective Quantified Goal on Climate Finance (NCQG) which is set to be formalised at COP29. The outcomes of these discussions will be critical for mobilising finance to support climate action in developing countries. With the right outcome from the negotiations, the NCQG will provide a more ambitious financial framework for climate finance, foster global partnerships and generally strengthen the global response to climate change. Private sector support, with a particular focus on the mechanisms to deploy finance, will be critical to success. In addition to this, governments will also discuss their updated National Determined Contributions (NDCs) which they have until February 2025 to submit outlining their plans for reducing emissions and adapting to climate change. More than ever, private finance will play a central role in the successful implementation of the plans put forward by companies." I will be part of Team Canada, speaking at the Canadian Pavilion (Blue Zone) on Nov 15th at 11:30am, sharing successes in major project collaboration within the First Nations Climate Initiative panel discussion. Should be a great trip, if at the conference please let me know. #canada #cop29 #reconciliation #cdnecon #cdnpoli

We, in the climate community, talk a big game about wanting the quantity of climate finance to ramp up, but what about the quality of that finance? Is the capital available to lower-income countries? Is it actually reducing emissions and supporting end-users to build climate resilience? As capital providers, it's time we start making sure that climate finance $ is concessional, accessible, and impactful. My friend and colleague, Zach Cohen, says it best below. And check out our new report on the topic: https://lnkd.in/eciTjUFj. Drop a comment, too, if you'll be at COP29 this year and want to dig deeper on climate finance.

COP29 is just weeks away, and the big issue on the table is climate finance: how do we get more money to those most in need, to ensure developing countries can step up their ambition in the next round of NDCs, and keep us on track to meet the Paris Agreement goals? However, it's not just about more money - it's also about making sure that money is driving real impact. I'm excited to have co-authored a new report at Environmental Defense Fund, which makes the case that the quality of climate finance matters just as much as the quantity. Quality climate finance is characterized by its effectiveness at driving positive climate outcomes and catalyzing long term change - but current international climate finance flows often fall short, as finance can be inaccessible, ineffective, or overly burdensome for developing countries. Our report underscores the need to maximize the impact of climate finance, by addressing systemic and structural challenges in the international finance system. We focus on three key aspects of quality finance – concessionality, access, and impact – that can support effective climate action, and offer recommended language to integrate quality into the New Collective Quantified Goal (NCQG) on climate finance, alongside recommendations to multilateral institutions to strengthen quality. Grateful to all my co-authors and colleagues who helped bring this report to life! Juan Pablo Hoffmaister Leslie Labruto Tom Clynes Sommer Yesenofski Check out our report here: https://lnkd.in/eciTjUFj #ClimateFinance #NCQG #COP29 #ClimateAction #QualityFinance

🌍💰 Over the weekend, the UN climate talks in Baku ended with a new finance goal to support developing countries transition to a low-carbon economy and protect against climate disasters. Developed countries agreed a new $300 billion annual global climate finance target, although questions remain on whether it’s sufficient to support the needs of developing countries, especially the ones most vulnerable to climate change. The #Systemiq team focused on engaging with various stakeholders to facilitate meaningful discussions and collaborate on strategies aimed at advancing the global climate agenda at #COP29. Some of our highlights include:     🔹 Climate finance leadership: Our State of Delivery report for the Independent High-Level Expert Group (IHLEG) on progress of the climate finance agenda featured at a high-level roundtable hosted by the Executive Secretary with representatives from MDBs, governments and global alliances to support coordinated action to COP30.    🔹 Engagement with private sector on the New Collective Quantified Goal (NCQG): Supported the Glasgow Financial Alliance for Net Zero (GFANZ), the Blended Finance Taskforce, and the Global Capacity Building Coalition (GCBC) in publishing a letter to the COP29 Presidency calling for an ambitious climate finance goal. The letter, informed by consultations with the private sector and in partnership with the IHLEG, outlined how an ambitious NCQG could help to unlock the private finance needed to accelerate global climate action and was the result of multiple roundtables.   🔹 Skills for a green economy: In collaboration with COP29 High-Level Climate Champion Nigar Arpadai, GIZ, and WRI, we hosted a roundtable with high-level representatives from governments, businesses, and philanthropies to advance jobs and skills for a green and just economy. Participants strongly supported the need for a global initiative which will set an agenda for action and support countries and industries in putting people at the center of the transition.   🔹 Industrial transition in Brazil: We shared key insights from our Industrial Transition Accelerator (ITA) pilot programme in Brazil, engaging with ministers, companies and UNFCCC officials to push forward a sustainable industrial transformation. 🔹 Launch of the Barbados Investment Plan and Barbados debt for climate conversion: We were proud to join the Minister for Climate Resilience from Barbados to launch their flagship investment plan for prosperity and resilience and facilitate a discussion about the new Barbados debt for climate conversion – a first of its kind instrument unlocking up front investment in adaptation for water and sanitation. 🔹 Global Capacity Building Coalition (GCBC) Coalition: We supported the GCBC as it put capacity building on the map at COP as a critical – but under-invested – part of the toolkit to mobilise and improve the quality of climate finance in emerging markets and developing economies. Photo: Vugar Ibadov

With #COP29 under way, we spoke to IGC Research Director Tim Dobermann about the global green transition and the urgent need for #climatefinance ⤵️  A "cruel arithmetic" underlies the global green transition. Even if OECD countries stopped all emissions tomorrow, the rest of the world would still need to reduce emissions by 85% by 2100 to keep warming within 2°C (Michael Greenstone via #AEAJournals). The plummeting costs of renewables and batteries make the challenge feel less daunting, but falling costs don't guarantee investments. The financing gap remains immense and is central to the COP29 negotiations in Baku. A new climate finance goal is on the table: we may need $1.3 trillion a year by 2035, up from the $100 billion currently provided. For context, offshore oil and gas capital expenditure has exceeded $100 billion annually in recent years (Reuters). Private adaptation financing is woefully underprovided because it focuses on avoiding losses rather than delivering returns. The #adaptation finance gap ranges between $187-359 billion per year (The Guardian). Those who are richer suffer far less from the consequences of hotter days. Growing incomes allow for investments in technologies that reduce emissions and exposure to climate risks. The best defence against #climatechange is to grow wisely. Fortunately, emerging economies have a unique opportunity: most of their emissions are still to come. By adopting the latest #energy innovations, they can achieve #sustainablegrowth with reduced environmental consequences. High capital costs and limited capacities hinder the uptake of clean technologies in low- and middle-income countries. This is where international finance and donor support become crucial. Often, private investments can lead the way. Bridging the climate finance gap is essential to transform the "cruel arithmetic" of climate change into a solvable challenge. The time to act is now—before the window for meaningful action closes. Read Tim's full blog ⬇️

"Reflecting on the pivotal outcomes of not only its Finance Day, but the COP29 as a whole, it remains clear that our sector has a crucial role to play in driving global climate action."   Read our latest blog exploring the outcomes of this year's Finance Day at COP29 in Baku, Azerbaijan, and how these are essential to shaping a sustainable, inclusive global financial response to the climate crisis. Click the link below to read more.    Read here: https://bit.ly/416sfDl   #CharteredBanker #COP29 #FinanceDay