Prioritizing sustainable finance
WTO Director-General Ngozi Okonjo-Iweala argued that trade could be part of the solution. Fundamental change is required. He called on governments to phase out $1.2 trillion in trade-distorting and environmentally unfriendly subsidies that currently exist and redirect those funds to climate finance. She advocated reglobalization and warned against misdiagnosing the problem. Interdependence doesn’t make us more vulnerable, it makes us overly dependent. “Let’s stop trying to fragment trade into two trading blocs, which will be very costly. Let’s rethink globalization to build resilience.”
Now is the time to include people who were excluded in previous versions, she said. “Why can’t we diversify our supply chains – not China plus one (Vietnam) but China plus Rwanda or Bangladesh?” Unless we become more inclusive, we will see more populism in rich countries and a divide between North and South. will become even larger. ”
Why aren’t trillions of people mobilized?
Barbados Government’s Special Envoy for Investment and Financial Services, Avinash Persaud, said there was a need to lower the cost of capital. Rpicturemy Rioux, IDFC Chairman, Agent Fran CEOçAIDS Do Dpicture“Trillions of money are here – in this room and in other rooms.” He was hopeful. Another recent meeting with 530 public banks from around the world discussed a new financial architecture: a large-scale, seamless architecture with trillions of dollars of public investment. We need to develop our capabilities and think more broadly. “It’s not about standards, it’s about a shared vision for the world.”
Development banks must play a catalytic role in de-risking investments in the SDGs. Active support and financial incentives from development banks should focus private sector participation and ensure outcomes that would not have been achieved without the intervention.
some bright spots
There are already some examples of companies treating the economy as a subsystem of an ecosystem and funding natural solutions as part of a more enlightened approach.nestlpictureFor example, we changed our thinking from “We must work with nature” to “How can people protect and improve their lives by working with nature?” . In CahChild labor is a problem in D’Ivoire’s coffee producing regions.nestlpicture directly addresses this issue by giving bonuses to people who keep their children in school. Wages are also paid to husbands and wives across households through mobile cash transfers, along with other bonuses for engaging in regenerative farming practices, pruning, etc.
In other areas, the insurance industry is using nature-based solutions such as mangroves to protect coastlines, rethinking perceived and real risks, and integrating climate and nature into risk management frameworks. Masu.