OECD Analysis, Climate Finance in 2013-14 and the USD 100 billion goal
Climate Finance Takes Center Stage Ahead of COP21 Negotiations
The OECD released a report (10/7) stating that public and private finance mobilized by developed countries for climate action in developing countries reached $62 billion in 2014, up from $52 billion in 2013. The OECD study was done in collaboration with Climate Policy Initiative.
The Guardian (10/7) reviewed the report noting that it is a “further clearing of the path to an agreement in Paris, as it helps countries to judge whether pledges made at previous meetings can be trusted.” The report was done to assess the progress made toward reaching the climate finance goal of $100 billion a year by 2020, as was agreed upon at the 2009 Copenhagen climate talks.
In response to the report, Secretary Kerry issued a press release (10/7) commending the progress that’s been made. He also noted that continued collaboration and support from public and private and bilateral and multilateral channels will be critical to achieve this goal.
The importance of private finance will be highlighted in an event sponsored by Secretary Kerry’s Climate and Clean Energy Investment Forum on October 20-21, which is the next step in the call to action he issued in his speech (3/12) at the Atlantic Council in March.
Climate finance was also discussed at the World Bank Group and International Monetary Fund annual meetings in Lima, Peru this past week.
AP (10/9) reported that the world’s top development banks have pledged to increase their climate finance funding. The World Bank will increase its climate financing by one third, reaching approximately $29 billion annually by 2020. Asian, European, and African multilateral development banks have pledged to essentially double their lending.
World Bank (10/10) President Jim Yong Kim stated “Political will for urgent action is critical. We believe there are politically credible pathways to deliver $100 billion a year in climate financing for developing countries by 2020.”
The Guardian (10/10) noted the World Bank pledge coupled with commitments from OECD member countries Germany, France, and the UK, which pledged to double their climate finance.
Inside Climate News (10/9) covered the establishment of the Vulnerable 20, or V20, a group formed by finance ministers from twenty climate vulnerable countries hoping to send a clear message to developed nations that it’s time to get serious about financing climate action. The group plans to develop innovative approaches to climate finance management.
The member countries include Afghanistan, Bangladesh, Barbados, Bhutan, Costa Rica, Ethiopia, Ghana, Kenya, Kiribati, Madagascar, Maldives, Nepal, Philippines, Rwanda, Saint Lucia, Tanzania, Timor-Leste, Tuvalu, Vanuatu, and Vietnam.
