Azerbaijan is the initiator of the Climate Finance Action Fund and will allocate a certain amount for it, Azerbaijan's Minister of Finance Samir Sharifov said at the special session of the Coalition of Finance Ministers for Climate Action within the Finance, Investment and Trade Day of COP29, Report informs.
Sharifov noted that the fund's resources are formed through voluntary donations from countries and companies producing fossil fuels: "The collected funds will be directed to financing climate projects, developing renewable energy sources, and supporting research in new climate solutions."
Sharifov announced that Azerbaijan will direct funds from revenues received from transferring its Special Drawing Rights to the International Monetary Fund's (IMF) trust funds, which will serve to prevent and eliminate negative consequences of climate change.
The IMF representative who spoke at the meeting highly appreciated this initiative of Azerbaijan and emphasized that it became the first in the region of Eastern Europe, Central Asia, and the Caucasus in this regard.