The CEO of the Institutional Investors Group on Climate Change (IIGCC), Stephanie Pfeifer, has sent an open letter calling for an ambitious New Collective Quantitative Goal (NCQG) at COP29, Report informs referring to the organization's press service.
The letter was addressed to Egypt's Minister of Environment Yasmine Fouad and Australia's Minister for Climate Change and Energy Chris Bowen.
The letter expresses support for an ambitious NCQG on climate finance and outlines key recommendations, including "recognizing the role of the private sector." It explains that many investors see opportunities in both developed and developing countries and are ready to work with policymakers to mobilize the financing needed to achieve net-zero emissions and climate resilience by 2050.
"Based on lessons learned from achieving the $100 billion goal, we know that lack of financial resources poses a risk to achieving goals and implementing Nationally Determined Contributions (NDCs) and may lead to further delay in global climate action. This creates long-term systemic risks to global financial stability, which is relevant to investors' fiduciary duties," the letter emphasizes.
The letter notes that an ambitious financial goal that includes private capital mobilization can enhance the ambition to meet NDC goals in developing countries.
This will be possible through building confidence in available financial resources for both mitigation and adaptation, as the latter has traditionally been underfunded.