Climate finance: Ghana strives to mobilize US $ 22 billion for NDCs

Climate action in Africa

Ghana intends to mobilize $ 22.6 billion in investments over a 10-year period, from 2020 to 2030, to implement its Nationally Determined Contributions (NDCs) to meet its obligations to the Paris Climate Agreement.

The country’s NDCs reflect its ambition to reduce emissions, taking into account its national situation and capacities.

Ghana now has 47 updated Mitigation and Adaptation Action Programs, covering 19 policy areas to be implemented from 2021 to 2030.

The country mobilizes funds from national and international public and private sources. Of the $ 22.6 billion needed, $ 3.8 billion is expected from the private sector alone.

“Again, we’re expecting around $ 8.5 billion from corporate social responsibility, trading facilities and the international carbon market, all of which are teeming with private sector players,” said Ms. Adwoa Faikue, Senior Economic Officer at the Ministry of Finance, at a conference on climate change in the private sector. Investment forum held in Accra.

“So in total, we are expecting about $ 12.3 billion from private sector actors, which is about 54% of the total amount required. This shows how important the private sector is to achieving our climate goal, ”she said.

Ms Faikue represented Dr Alhassan Iddrisu, the GCF / Designated National Authority (NDA) focal point of Green Climate Finance, who is also the Director of the Economic Strategy and Research Division, Ministry of Finance, at the forum two days. .

The theme of the forum was: “Empowering the Private Sector as a Key Partner to Achieve Ghana’s NDCs in the Age of COVID-19 and Beyond” and brought together international and development-oriented organizations, government agencies , civil societies and universities. , who participated both in person and by virtual means.

The Federation of Private Enterprises (PEF), in collaboration with the Ministries of Finance and Environment, Science, Technology and Innovation, in partnership with the United Nations Development Program (UNDP) in as part of the Global Climate Finance Readiness Program and the NDCs Support Program, hosted the forum.

Through the forum, private sector actors received the platform to explore the opportunities and risks of investing in climate change and to identify possible concrete actions that could be implemented to overcome the main obstacles, including especially in the era of COVID-19.

Ms. Faikue explained that the government recognizes the important role that the private sector plays in achieving the goal of Ghana’s NDCs and the national development agenda and, therefore, is ready to empower the private sector as a key partner. in the realization of CDNs.

The government also ensured transparency, as well as the creation of an enabling environment that could reduce or transfer investor risks and attract private sector investment for priority actions related to climate change.

Ms Faikue said the government was also raising awareness of the investment opportunities that NDCs present, and that one of those awareness sessions was what brought about the climate investment forum.

She noted, however, that despite the negative impact of climate change, it was also seen as the biggest investment opportunity in history, accounting for over 10 percent of global GDP.

She urged private sector actors to seize the opportunities created by the state and be able to successfully support the implementation of NDCs.

“It is the government’s vision to partner with the private sector for development,” added Ms. Faikue.

The main thrust of private sector development policy is to make Ghana the most suitable country for business in Africa and to create a globally competitive private sector environment, ”she said.

Michael J. Birnbaum

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