The Climate Debt emergency is being recognised more and more on the lead up to COP26 this November.
Discussions at the 2021 UN General Assembly were encouraging. There are a growing number of countries making public calls for reform of the international financial architecture (including a debt workout mechanism and debt restructuring), debt cancellation and relief, as well as the increasingly important linkages between debt and climate.
This call for financial awareness and action is key if we are to ever achieve Climate Justice. Notably, the President of the Republic of Malawi (one of Scotland’s International Partner countries), Dr Lazarus McCarthy Chakwera, said:
“to help us recover from the economic devastation caused by this pandemic, the starting point is three words: Cancel the Debts. This is the single most impactful thing that would help developing nations like Malawi build back better and not be left behind. We already have a Social Economic Recovery Programme for addressing the socio-economic impacts of the pandemic. But what is missing is the debt cancellation that will help us focus on recovery. The effectiveness of this approach has already been proven by the G20 Debt Service Suspension Initiative (DSSI). So, I say again: Cancel the Debts.”
Below you can find the links to the relevant speeches on these issues:
Called for debt cancellation and the establishment of a new vulnerability index for the provision of multilateral support
Called for multilateral debt workout mechanism, reform of CRAs and debt restructuring linked to climate goals
Called for debt relief and the establishment of a new vulnerability index for the provision of multilateral support
Called for debt relief for developing countries and the recognition of climate debts by advanced economies
Called for exclusion of climate related investments from fiscal rules (and by extension DSAs), and for immediate relief and suspension of multilateral debts linked to climate goals
Cited climate change as an existential threat and need for additional financing for countries in Central America
Called for debt cancellation
Highlighted insufficiency of financial multilateral response to address challenges faced by Africa and called for debt relief for African countries
Called for support for middle income countries and mechanism for concessional financing linked to SDRs
Called for a revision of debt sustainability criteria
Called for the establishment of a new vulnerability index for the provision of multilateral support
Calls for additional debt moratoriums and concessional financing
Called for support for middle income countries and the establishment of a new vulnerability index for the provision of multilateral support
Called for debt cancellation
Cited climate change as an existential threat
Called for support for middle income countries and the establishment of a new vulnerability index for the provision of multilateral support
Called for support for middle income countries
Called for improved debt restructuring
Called for debt cancellation and review of eligibility criteria
Called for comprehensive debt restructuring and re-distribution of SDRs
Cited climate change as an existential threat and singled out lack of access to climate financing as the single biggest problem
Called for establishment of a new vulnerability index for the provision of multilateral support
Called for expansion of Common Framework for middle income countries and mechanism for concessional financing linked to SDRs
Calls for on-lending of SDRs with a focus on Africa
Called for debt relief linked to the 2030 Agenda
Called for a new vulnerability index for the provision of multilateral support
Called for debt relief and the establishment of a new vulnerability index for the provision of multilateral support
Called for debt relief and the establishment of a new vulnerability index for the provision of multilateral support
Called for additional support and debt relief for middle income countries
Called for debt relief for countries in Africa
Called for the establishment of a new vulnerability index for the provision of multilateral support
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