The African Development Bank has introduced some measures to ensure that the continent is not short-changed by climate finance.
Scientific evidence shows that African economies are already reeling from the devastating effects of climate change, further exacerbating their development challenges.
At the 53rd Annual Meetings of the Bank, in Busan, Korea, the institution brought stakeholders together for an ‘open dialogue’ to discuss the establishment of the Africa Financial Alliance for Climate Change (AFAC).
The initiative was well received by key continental and global stakeholders who agreed with the Bank that Africa needs immediate climate change action.
Dr Akinwumi Adesina, President of AfDB Group, said ‘the establishment of the African Financial Alliance for Climate Change is a call for us to stand together to mobilize climate finance at scale to meet needs in Africa.”
The 2015 Paris Climate Agreement calls on countries to increase their ability to adapt to the adverse impact of climate change without threatening food production and make financial flows consistent with a pathway towards low greenhouse gas emissions and climate-resilient development.
‘As Africa’s premier development financial institution, the African Development Bank is already taking action. The Bank is leading Africa’s transition to climate resilient economies,’ he said.
‘The financing needs to meet the ambitions of the Paris Climate Agreement in Africa are enormous. The implementation of Africa’s Nationally Determined Contributions (NDCs) would require investments of at least $2.7 trillion for mitigation and another $488 billion for adaptation by 2030.’
The international community has pledged to mobilize $100 billion in climate finance per annum by 2020 to support adaptation and mitigation projects in developing countries.
However, of the US $820 billion in climate finance flows for 2015 and 2016, only US $16 billion was for Africa and this represents a mere 2 per cent of the total.
‘This is why the African Development Bank is hosting this open dialogue to initiate the establishment of the African Financial Alliance for Climate Change as a call for us to stand together to mobilize climate finance at scale to meet the needs in Africa,’ Dr Adesina added.
He said the Bank could not achieve the task alone, adding that without achieving the Paris Climate Agreement in Africa, the world will not achieve the required reductions in greenhouse gases to keep global temperatures below the required target.
