CAERC: Climate finance requires active involvement of banking sector

Climate finance demands active participation from the banking sector, Vusal Gasimli, the Executive Director of the Center for Analysis of Economic Reforms and Communication (CAERC), said at the 8th International Banking Forum held in Baku Report informs.

Gasimli emphasized that developed countries need to allocate $1.15 trillion to combat climate change. "This amount is crucial for limiting climate change to 1.5 degrees and ensuring sustainable development," he said.

However, the director pointed out that currently, the world spends $2.4 trillion on the fashion industry, $2.44 trillion on military expenditures, and $7 trillion on fossil fuel subsidies annually. Additionally, the total wealth of the world's billionaires has reached $14.2 trillion, he stated.

According to Gasimli, these figures reveal the vast potential of the global economy. "The decisions of the COP29 climate conference, held in Baku, take into account not only the capabilities of governments but also the private sector and the banking sector. This approach is one of the most significant achievements of COP29," he added.