Baku :- Pakistan Pavilion hosted a session on Thursday its first National Climate Finance Strategy (NCFS) to address the escalating challenges posed by global heating by mobilising financial resources for climate mitigation and adaptation efforts, focusing on scaling up climate-related investments, attracting international finance and strengthening domestic financial systems, according to a press release issued here from the Ministry of Climate Change & Environmental Coordination.
Pakistan’s Federal Finance Minister Muhammad Aurangzeb and Pakistani Prime Minister’s Coordinator on Climate Change Romina Khurshid Alam jointly unveiled NCFS at Pakistan Pavilion in Baku on the sidelines of the two-week UN-led global climate conference (COP29).
Muhammad Aurangzeb said having unveiled the NCFS is a matter of great pride as it provides a roadmap to systematically access and secure climate finance from available funding channels. He further said that NCFS is based on principles of transparency, accountability and inclusivity. It outlines the multiple avenues to leverage international, domestic and private finance.
He also termed NCFS a cornerstone of Pakistan’s commitment to the Paris Agreement, underpinning the unprecedented significance of engaging with private sector, international climate finance, and carbon markets.
It also identifies sectoral priorities and outlines measures to leverage various financial instruments to support climate resilience initiatives, which paints a clear framework for climate finance from various channels, Mr. Aurangzeb highlighted.
“Above all, the launching of NCFS actually reflects Pakistan’s proactive approach to mobilising climate finance and building resilience against climate-induced challenges,” the Pakistani federal finance minister told the participants of the event.
“Its really a historic moment for Pakistan to be able to unveil its first-ever climate finance strategy, a major step in our commitment to a sustainable and climate-resilient future,” PM’s climate aide Romina Khnurshid Alam said in her keynote remarks at the launching event.
Explaining about the strategy, she said that the climate finance strategy outlines a path to bridge the significant climate finance gap facing Pakistan—a gap we estimate at $348 billion by 2030 for our climate-resilient and low-carbon development goals. She mentioned that the NCFS will accompany the national climate finance portal, that will share all the climate finance inflows as well as outflows to ensure transparency and accountability. She also mentioned the NCFS is a inclusive document, where input from all the stakeholders have been included.
Ranked among the top 10 most climate-vulnerable countries, Pakistan experienced a $30 billion loss in the 2022 floods, directly affecting 33 million people.
“Our NCFS primarily seeks to plug this gap by establishing a climate finance framework aligned with a whole-of-economy approach, aiming to climate-proof investments and allocate resources to our most vulnerable sectors and communities,” Romina Khurshid Alam remarked.
She highlighted that Pakistan’s climate resilience vision 2050 encompasses resilient infrastructure and agriculture, climate-smart cities, and ecosystems that provide diversified livelihoods.
The NCFS is well-thought out roadmap that focuses on climate-proofing policies, clarifying institutional roles, and enhancing our climate finance systems. Its three-pronged approach—whole-of-government alignment, diversified domestic resources, and innovative funding mechanisms—will be instrumental in unlocking climate finance at scale.
With transparency and accountability as core principles, a three-tiered monitoring system underpins the NCFS, ensuring every effort aligns with Pakistan’s commitments and goals.
Shedding light on the inclusive policy actions to be taken in the light of NCFS, Pakistani PM’s climate coordinator Romina Khurhsid Alam highlighted, “We also prioritize inclusive policies that empower marginalized groups, particularly women, integrating circular economy principles to drive resource efficiency and sustainable development.”
Secretary Ministry of Climate Change and Environmental Coordination, Aisha Humera Moriani said in her welcome remarks that it is an honor to host this event on Pakistan’s National Climate Finance Strategy (NCFS) here in Baku.
“Today, as we join COP29, we reaffirm our shared commitment to multilateral climate action, with a particular focus on the essential role of climate finance,” the secretary Ms. Moriani remarked.
Explaing about the NCFS, she told the participants of the event that Pakistan’s NCFS is rooted in three key objectives: enhancing sectoral resilience, clarifying institutional roles, and bolstering access to finance from diverse sources.
The framework builds on our National Climate Change Policy, emphasizing emissions reduction targets in our NDCs—50% by 2030, with a 15% reduction through domestic efforts and an additional 35% conditional on international support. Our ongoing projects, from mangrove restoration to renewable energy development, reflect this commitment,” the climate change and environmental secretary said further.
WWF President Adil Najam while emphasizing on the importance leveraging climate finance urged the developed countries to fulfil their commitments on providing significance climate finance to developing vulnerable countries. He also showed concerned slow pace on the climate fiancé being provided by the developed countries.
Secretary General CVF-V20 Mohamed Nasheed emphasised that the developing vulnerable countries should raise their voice for joint efforts to counter the risks and challenges posed by rapidly deteriorating state of affairs.
Lead Climate Specialist for South Asia at the World Bank, Tom Kerr, said that South Asia region is particularly vulnerable to climate change impacts and is need for joint efforts by the regional countries to achieve regional climate resilience.
He appreciated the Pakistani government for coming up with NCFS, is landmark achievement to explore available climate finance funding channels and access the available funding to meet its climate finance needs.
