The United Nations Office for South-South Cooperation (UNOSSC), in partnership with the High-Level Committee on South-South Cooperation, under the Presidency of Sri Lanka, and the OPEC Fund for International development (OFID), organized an event on September 26, 2024, focused on “Just, Equitable Financing and Solidarity for Climate Action: South-South and Triangular Cooperation Pathways to the SDGs”.

The event triggered a policy level dialogue and raised awareness of the importance of just and equitable climate action and the role of South-South and triangular cooperation in addressing climate change.

Ms. Dima Al-Khatib, UNOSSC Director, opened the event by highlighting the critical role of fostering just and equitable climate action to address the pressing challenges posed by climate change, particularly for the most vulnerable countries in the Global South, who disproportionately suffer the effects of climate change, despite contributing the least to global emissions.

“The reality of climate change is undeniable, and its effects are being felt most acutely in the Global South,” said Ms. Dima Al-Khatib. “This week, we witnessed the endorsement of the Pact for the Future — a landmark declaration that signals a pivotal moment in our global response to climate change,” she said. “Today’s event is more than just a conversation; it is an opportunity to shape the path forward. The outcomes we develop here will serve as valuable contributions to the upcoming COP29 conference and beyond.”

Al-Khatib emphasized that the effects of climate change are being felt through rising sea levels, extreme weather events, and prolonged droughts devastating communities and ecosystems. Al-Khatib noted that around 900 million people live in coastal zones at low elevations, equivalent to one in ten people worldwide. She stressed the disproportionate impact of climate change, stating that the world’s richest 10 percent are responsible for 50% of greenhouse gas emissions, while the poorest 50% are only responsible for 10%. In contrast, LDCs contributed 3.8% of global emissions, while SIDS were responsible for less than 1%.

It was highlighted that recent progress, including the first global stock-take at COP28, which mobilized over $85 billion in funding for climate action, with over $700 million committed towards the loss and damage fund, but more needs to be done. Al-Khatib emphasized the role South-South and triangular cooperation as powerful vehicles for collective action. Countries in the Global South have been at the forefront of innovative climate solutions, from renewable energy projects to ecosystem restoration efforts. Through this cooperation modality, countries can share these experiences, exchange technologies, and build the capacity needed to address climate challenges. UNOSSC is facilitating these collaborations by supporting countries through trust funds, digital platforms, and partnerships. The recent launch of the South-South and Triangular Cooperation Solutions Lab further exemplifies the commitment to incubating and testing solutions for climate challenges. The Director, further called for amplifying global cooperation, urging all stakeholders to contribute to and expand on these partnerships as the world prepares for COP29 and beyond, ensuring that climate action reaches those who need it most.

“Achieving a just, equitable financing for climate action within the South-South cooperation framework can play a critical role in advancing the #SDGs, particularly SDG13,” said His ExcellencyPeter Mohan Maithri Pieris, Permanent Representative of Sri Lanka to the United Nations and President of the High-Level Committee on South-South Cooperation, in his opening remarks. “South-South cooperation enables the Global South to share knowledge, expertise and resources to address common challenges, including climate change.”

His Excellency Peter Mohan Maithri Pieris acknowledged the unprecedented crisis facing the world, particularly impacting vulnerable countries. Pieris noted that global temperatures are already 1.1 degrees above pre-industrial levels and are likely to surpass the critical 1.5 degrees Celsius tipping point by 2035. He emphasized that the most vulnerable people, who contribute the least to greenhouse gas emissions, face the brunt of climate impacts. Pieris outlined several strategies for pursuing just and equitable climate financing and solidarity through South-South cooperation, including strengthening institutional and policy frameworks, regional climate agreements, exploring innovative financial solutions, prioritizing capacity building, facilitating technology transfer, sharing best practices, fostering solidarity and advocacy, building climate-resilient infrastructure and incorporating just transition principles. Additionally, he highlighted the role of civil society, private sector involvement, and regional development banks in addressing climate challenges, urging for collective action and concrete outcomes in future climate negotiations.

“South-South cooperation can make a major contribution to increase financing for climate action,” said Mr. Haoliang Xu, Associate Administrator of UNDP. He provided insights on UNDP’s work in climate finance and South-South cooperation, emphasizing the importance of having national planning frameworks supported by the integrated national financing frameworks (INFFs) to successfully mobilize climate finance. Mr. Xu highlighted successful examples where 86 countries are already benefiting from these frameworks, freeing up $16 billion toward SDG-related projects. He highlighted examples of countries using climate action as an opportunity for broader development, such as Malawi using NDC financing to stimulate development projects covering renewable energy, irrigation systems, and internet access. Mr. Xu also discussed UNDP’s work with various countries on using finance solutions to stimulate NDCs, including Kazakhstan, Turkmenistan, Uzbekistan, and Mongolia. He mentioned UNDP’s collaboration with other financial institutions, such as the Green Climate Fund (GCF) project in Africa working with 31 countries to set up financial mechanisms and develop local financing markets. Lastly, he highlighted innovative financing approaches, such as Indonesia’s framework for issuing SDG and green bonds based on Islamic financing principles.

Ms.Al Shaimaa Al-Sheiby, Vice President of Public Sector and Strategy at the OPEC Fund for International Development (OFID), emphasized the Fund’s commitment to South-South cooperation. She highlighted OFID’s global footprint, operating in over 125 countries with a cumulative commitment of $24 billion. Al-Sheiby discussed the South-South Knowledge Hub, an initiative launched in partnership with the Asian Development Bank in 2018, which allows the Fund to identify and replicate successful solutions across regions. She mentioned OFID’s partnerships with Southern-led institutions, such as the Arab Coordination Group, which helped capitalize $27 billion in pledges for critical climate actions at COP27 and COP28. Al-Sheiby noted that OFID is currently dedicating 34% of its portfolio to climate action, ahead of its target of 25% by 2025, with an aim to achieve 40% by 2030. She also discussed the upcoming launch of the OPEC Fund Island Resilience Facility, aimed at increasing climate resilience and building capacity in small island developing states. She underscored that partnerships with local stakeholders, financial institutions, and civil societies are crucial to creating sustainable solutions, while reiterating that collaboration across borders is key to achieving climate justice for the most vulnerable communities.

The panel discussion, moderated by Mr.Jamil Ahmad, Director of the UNEP New York Office, featured insights from several distinguished speakers. Mr. Ahmad opened the discussion by highlighting the existential threat posed by climate change, which risks reversing gains made towards achieving the SDGs. He echoed the Secretary-General’s warning of a “climate meltdown”, and emphasized the need for urgent solutions, which have been identified but require large-scale implementation. Mr. Ahmad noted that while the challenges are significant, there are also ample opportunities for collaboration and innovation. He underscored that South-South and triangular cooperation could play a pivotal role in leveraging experiences, knowledge, and resources to address climate impacts and advance the SDGs.

Ms. Shayma Gargash, Director of Sustainability and Energy Department at the UAE Ministry of Foreign Affairs shared insights into the UAE’s leadership role as President of COP28, emphasizing the country’s commitment to advancing climate action, particularly for vulnerable nations in the Global South. She highlighted the UAE’s proactive approach in promoting renewable energy transitions and clean technology transfers through South-South cooperation. The UAE, with a long history of foreign assistance, has pledged $100 million to the Loss and Damage Fund and has been instrumental in rallying other developed nations to contribute, including Germany. The UAE also played a key role in operationalizing the fund, working closely with developing countries and partners such as the World Bank to ensure effective disbursement and implementation of projects. Additionally, the UAE has committed $4.5 billion towards renewable energy projects in Africa, underscoring the importance of public-private partnerships. Ms. Gargash emphasized the importance of continuity and consistency in climate action, mentioning the UAE’s commitment to being a climate-friendly country beyond its COP28 presidency. She also noted that the UAE will be co-hosting the 2026 UN Water Conference with Senegal, highlighting cooperation between Global South countries on related environmental issues. Ms. Gargash also stressed the need for global collaboration and trilateral cooperation to create greater impact and ensure that climate solutions are effectively implemented.

Mr. Elmaddin Mehdiyev, COP29 Presidency Finance Team Lead and Senior Negotiator, Director of Azerbaijan International Development Agency (AIDA), discussed Azerbaijan’s priorities for the upcoming COP29. He emphasized Azerbaijan’s focus on climate finance, which he described as the “heart of global climate action”, noting that without adequate finance, climate goals cannot be achieved. The primary priority for Azerbaijan is to negotiate a fair and ambitious New Collective Quantified Goal (NCQG) on climate finance; agreed upon by all parties, and addressing the needs of developing nations. Mehdiyev highlighted Azerbaijan’s commitment to South-South cooperation and ongoing efforts through the AIDA to implement climate projects. Mr. Mehdiev stressed the importance of continuity and consistency in climate action, and Azerbaijan’s dedication to providing an inclusive platform for negotiations. He pointed to Azerbaijan’s recent hosting of the third meeting of the Board of the Loss and Damage Fund as a critical milestone, laying the groundwork for fund disbursement in 2025. Additionally, Azerbaijan is supporting vulnerable countries through initiatives like the Baku Initiative for Climate Finance, Investment, and Trade (BICFIT), which aims to channel public and private climate finance to the Global South. Azerbaijan has also pledged funding to support participation of Small Island Developing States at COP29, reinforcing its commitment to inclusive and effective climate action.

Dr. Issa Faye, Director General of Global Practice and Partnerships, Islamic Development Bank (IsDB), highlighted the Bank’s unique position as a South-South Multilateral Development Bank, with all shareholders from the Global South. This allows the IsDB to have a distinctive focus on the needs of developing countries, ensuring that climate action is both just and fair by considering the specificities and long-term development goals of its Member States, he said. The IsDB has implemented frameworks, policies, and targets to drive climate action, including launching its Climate Change Policy and Sustainable Finance Framework, and surpassing its target of 35% climate finance by 2025. Dr. Faye emphasized the Bank’s innovative financial mechanisms, such as green Sukuk (Islamic bonds), which have leveraged $6 billion since 2019 to support projects in areas like sustainable transport and food security.

The IsDB is also leveraging Islamic finance principles to promote climate action, microfinance, and the halal industry. Through mechanisms like reverse linkages, the Bank facilitates the transfer of knowledge, skills, and technology between countries, supporting South-South and triangular cooperation. Dr. Faye also noted the Bank’s contributions to global initiatives, such as supporting early warning systems, and collaboration with various international bodies at key climate-related events, including COP28 and COP29. The Bank’s commitment to climate action and sustainability is further demonstrated by its ongoing partnerships and projects across its Member States, helping them transition towards climate-resilient economies.

During the Q&A session, several important points were raised. An audience member from a private equity firm highlighted the immediate concern of pollution and waste management in many countries of the Global South. He shared an example of bringing technology from Japan to address plastic waste issues in countries like Malaysia, UAE, and Indonesia; demonstrating the potential for triangular cooperation in addressing environmental challenges.

The need to engage the private sector more effectively in climate finance and investments was emphasized, particularly high-level investments from VCs and big funders. The importance of addressing the issue of funds flowing to developing countries and low-income countries facing major debt burdens was discussed, along with the need for risk-sharing mechanisms to de-risk finance for countries in the Global South.

The discussion also touched on the broader impacts of climate change, including its effects on mental health, particularly for women and young people, as well as children’s rights. The importance of considering the impacts of climate change on various aspects of development, including sexual and reproductive health and gender-based violence, was highlighted. Participants emphasized the need for local community engagement and capacity building to ensure the sustainability of climate initiatives beyond government changes or private sector involvement. This point underscored the importance of creating a sense of ownership and understanding among local stakeholders to maintain the momentum of climate action efforts.
The event was concluded with closing remarks by Mr. Samba Thiam, Senior Policy Advisor, UNOSSC, who emphasized key themes of solidarity, consistency, leadership, action, innovation, and finance as critical takeaways from the discussion. He highlighted the importance of South-South cooperation, with the UAE’s and Azerbaijan’s leadership and commitment to collective climate action serving as a prime example. He stressed that consistency in efforts and persistence are crucial for achieving climate goals, particularly through the leadership of the Global South, which is hosting three significant COP events in one year. While strategies and plans are essential, he called for immediate, tangible action and underscored the need for innovative solutions, like IsDB’s reverse linkages initiative, to be scaled up. Lastly, he reiterated the importance of securing real financial commitments to ensure that climate efforts move beyond discussions to meaningful implementation.