UAE highlights gaps in climate finance for decarbonisation of economy

The UAE Ministry of Climate Change and Environment has highlighted the gaps in climate finance for decarbonisation of the economy and urged everyone particularly in private-sector financial entities to increase green finance to support the UAE’s vision to build a sustainable economy.

The country hosted a special event to accelerate the country’s journey to net-zero emissions by 2050.

The dialogue, an initiative led by the UAE Ministry of Climate Change and Environment, aims to promote climate action through stronger collaboration, including with the private sector.

It is a series of industry-specific assemblies in various sectors aimed at raising climate ambitions in the nation’s journey to net zero, which means not adding to the amount of greenhouse gases in the atmosphere.

The session, on Monday, was attended by Mariam Al Mheiri, Minister of Climate Change and Environment, and brought together 100 participants from the banking, insurance, investment, financial services and consulting sectors and various ministries.

Coming only months before the UAE hosts the UN climate summit Cop28, Ms Al Mheiri emphasised the importance of collaboration to raise ambition for climate finance, which is important to implement the goals of the 2015 Paris agreement. Climate finance is crucial in funding renewable power such as wind or solar.

Agreed in 2015 and signed by about 200 countries, the Paris climate accord aims to limit global temperature rises to 1.5ºC above pre-industrial levels, and to keep them “well below” 2.0ºC. How countries are implementing the accord and what more needs to be done will be discussed at Cop28 in what is known as a “global stocktake”.

“One of the key elements of UAE’s vision for Cop28 is to raise ambition and collective action towards mitigation [cutting emissions], adaptation [coping with climate change], loss and damage and climate finance.

“The UAE believes scaling up climate finance is crucial for system-wide transformation, and this can be achieved through strong partnerships that will support the nation’s journey to net zero by 2050,” said Ms Al Mheiri.