Building Pakistan’s Climate Resilience Through Finance

News Desk

Baku: At the 29th meeting of the Conference of the Parties (COP29) to the United Nations Framework Convention on Climate Change, global experts emphasized the need for mobilizing international climate finance, with a focus on the role of the private sector in building climate resilience in countries like Pakistan.

Dr Abid Qaiyum Suleri, Executive Director of the Sustainable Development Policy Institute (SDPI), stressed the crucial role of finance in addressing Pakistan’s climate challenges.

“This COP is a finance COP,” he remarked, underlining discussions on the role of multilateral development banks and the formulation of Pakistan’s climate finance strategy.

Abdul Aleem, President of the Overseas Investors Chamber of Commerce and Industry (OICCI), called climate change Pakistan’s “biggest threat” and pledged to raise $50 million for green investments.

He emphasized the importance of private sector partnerships and exploring green financing options such as green bonds for clean energy projects.

Private Sector Engagement

Andrew Bailey, Managing Director of BASF Pakistan, highlighted the private sector’s essential role in enhancing climate resilience. He noted that Pakistan needs $348 billion from 2023 to 2030 to meet its Nationally Determined Contributions (NDCs) for carbon emission reduction.

He also mentioned that OICCI member companies have invested $23 billion over the last decade in water recycling, plastic management, and renewable energy.

Fiona Duggan, Global Sustainability Climate Lead at Unilever, advocated for scalable, localized climate action, calling for a shift toward biofuels and sustainable farming practices.

Rob Cameron, Global Head of ESG Engagement at Nestlé, echoed her concern, stressing the need for regenerative agriculture to ensure food security and reduce plastic waste in supply chains.

Capital for Climate Action

Veronica Nyhan Jones, Global Head of Climate Capacity and Inclusion Accelerator at the International Finance Corporation (IFC), highlighted the urgent need for mobilizing capital for climate action.

The IFC has already committed $15 million to Pakistan and plans to raise $20 billion globally for climate finance, with a focus on gender-inclusive initiatives.

Tom Beloe, Director of the UNDP Sustainable Finance Hub, emphasized the importance of partnerships between development and finance institutions to tackle Pakistan’s climate and development challenges.

He pointed out that only 40 out of 138 global development targets are achievable for Pakistan, underscoring the need for collaboration to meet the country’s Sustainable Development Goals (SDGs).

ESG for Development

Fatima Khushnud, Executive Director of the Pakistan Environment Trust, concluded by stressing the significance of platforms like OICCI for fostering cross-industry collaborations.

She emphasized integrating economic and monetary returns from Environmental, Social, and Governance (ESG) activities as key to advancing sustainable development in Pakistan.

As COP29 progresses, the focus on climate finance and private sector involvement remains central to discussions, with expected outcomes to shape Pakistan’s climate strategy and attract vital investment to safeguard the country’s future and contribute to global climate goals.