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Published on Nov. 14, 2024, 12:07 AM
Publicized on Tuesday, a new, US$1.48-billion (C$2.07 billion) blended finance platform led by Canada, GAIA, will organize climate-centred investments in the world’s vulnerable regions most impacted by extreme weather
One of the focal, and divisive, points of this year’s COP29 summit so far has been finance, and on Tuesday, Canada pledged a significant initiative to help countries most affected by climate change.
The main objective for the almost 200 countries at the United Nations’ 29th meeting of the Conference of the Parties (COP) to the UN Framework Convention on Climate Change (UNFCCC), or COP29, is to come to terms on a deal that will earmark up to trillions of dollars in financing for global climate projects.
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Canada made a notable contribution on Tuesday, announcing details of a new, US$1.48-billion (C$2.07 billion) blended finance platform, called GAIA, it will lead to organize climate-centred investments in the world’s vulnerable regions most impacted by extreme weather.
“This is an incredibly exciting initiative that responds directly to the needs of emerging markets and developing economies. Canada looks forward to seeing the range of projects that will give people in developing countries a greater level of security and well-being in the face of a rapidly changing climate,” said Steven Guilbeault, Canada’s Minister of Environment and Climate Change, in a news release on Tuesday.
New platform will make more funds available for high-impact action projects: Federal government
According to the federal government’s announcement, the goal of GAIA is to increase the availability of climate finance for high-impact climate action projects in up to 25 emerging markets and developing economies. As for where the money will go, 70 per cent of the platform will aid adaptation projects while 25 per cent of the funds will be invested in small island, developing states and least developed countries.
It will be co-founded by FinDev Canada in partnership with the Mitsubishi Financial Group (MUFG), with a mainstay contribution from the Green Climate Fund.