TheJakartaPost
Please Update your browser
Your browser is out of date, and may not be compatible with our website. A list of the most popular web browsers can be found below.
Just click on the icons to get to the download page.
Hamburg summit seeks solutions for sustainable development financing
The United Nations has estimated that the world is facing an annual financing gap of about US$4 trillion to achieve the SDGs, leaving countries with scarce resources to invest in better education, healthcare, renewable energy and climate resilience.
Change text size
Gift Premium Articles
to Anyone
Share the best of The Jakarta Post with friends, family, or colleagues. As a subscriber, you can gift 3 to 5 articles each month that anyone can read—no subscription needed!
A participant gestures in front of the logo of the Hamburg Sustainability Conference at the City Hall in Hamburg, Germany, on Oct. 7, 2024. (AFP/Axel Heimken)
W
hile the world is battered by more natural disasters caused by the warming planet, a number of countries have fallen into debt that may make it harder for them to recover from such catastrophes and achieve their sustainable development goals.
At the Hamburg Sustainability Conference last week, World Bank President Ajay Banga said official and multilateral lenders would not be able to provide the $4 trillion needed to reach the sustainable development goals across countries.
"That gap is going to need the private sector," Banga said during a panel discussion on Oct. 7.
The United Nations has estimated that the world is facing an annual financing gap of about US$4 trillion to achieve the SDGs, leaving countries with scarce resources to invest in better education, health care, renewable energy and climate resilience.
Countries including Belarus, Lebanon, Sri Lanka and Venezuela have defaulted on their sovereign debt, according to CFR Sovereign Risk Tracker, while Argentina, Egypt, Ghana, Kenya, Pakistan, Russia, Tunisia and Ukraine are at highest risk.
Banga said using public money to de-risk private investment was one way of leveraging the multilateral balance sheet and the World Bank had increased insurance for investors that intend to finance renewable energy projects in developing countries.
Read also: Explainer: The progress and challenges of sustainable financing in Indonesia
