Leading financiers and philanthropists from the UK and US are joining together to build a roadmap to tackle climate change in developing economies.
By 2030, annual clean energy investment in developing economies needs to expand by over seven times, to above $1 trillion, in order to keep the world on track to reach net-zero emissions by 2050, research from the government shows
Additional investments are also needed to halt deforestation and reverse forest loss, reduce non-carbon dioxide emissions, and adapt and build resilience to climate change.
Companies are being encouraged to showcase examples of recent activities that represent how significant investments are driving climate action and harnessing all the economic, environmental, security and social benefits they bring – raising implementation efforts that contribute toward the Paris Agreement goals.
Energy Security Secretary, Grant Shapps, said: “Finance is the lifeblood of growing economies. Billions has been spent so far to accelerate the green transition already underway, and the UK is delivering its £11.6bn of International Climate Finance to support countries around the world – but if we want to deliver real change, we must go further and do it together. The scale of this transition requires trillions in private investment in addition to the public funds we are spending.”
Emerging markets and developing economies currently account for two-thirds of global greenhouse gas emissions, and dozens are extremely vulnerable to climate hazards. Such economies are crucial for tackling climate change and putting a stop to nature’s decline, as well as being key partners for both the UK and US in generating shared prosperity from the global transition.
Laimonas Noreika, CEO of HeavyFinance, commented: “Achieving global climate goals requires a unified effort to share investment and ideas to support developing nations in accelerating climate action. Investment in areas such as stopping deforestation and no-tillage farming is vital to reduce emissions as well as build a resilient climate.”
“It is great to see world leaders taking charge, but it is also important for businesses to play their part through sustainable initiatives and investment. For those unable to participate in activities such as retrofitting, investing in Article 9 funds offers a climate-positive route to support global efforts, committing resources for sustainable practices that can make a significant impact on carbon reduction.”