Group of Influential Nations

In September 2024, the High Ambition Coalition (HAC) has called on G20 countries to boost climate finance and reduce reliance on fossil fuel investments ahead of COP29 in Azerbaijan.

Key Points

HAC’s Appeal to G20 Nations: The High Ambition Coalition urged G20 countries to work collectively to mobilize more funds for climate action and transition away from fossil fuel investments, with the goal of setting a new climate finance target at COP29 in Baku.
The New Collective Quantified Goal (NCQG): This new financial goal, starting in 2025, represents the annual amount developed countries must mobilize to support developing nations' climate action efforts.
Challenges in Setting New Targets: Progress has stalled during UN talks in Bonn and technical discussions in Baku, casting doubt on achieving ambitious climate finance goals.
Global Responsibility of G20: The HAC emphasized that G20 nations, responsible for 80% of global emissions and holding 85% of global GDP, must lead climate finance efforts and make the shift away from fossil fuels.
Trillions Needed for Developing Countries: The UNFCCC estimates that between USD 5-7 trillion will be required by 2030 for developing nations to meet their Paris Agreement goals.
India’s Stand on Climate Finance: India has called for at least USD 1 trillion annually from developed countries, emphasizing that this support should come in the form of grants and concessional finance rather than loans.
Debt Constraints: The HAC highlighted that the high cost of capital and unsustainable debt hinders many countries' ability to achieve their climate goals, calling for a restructured international finance system.