World-leading climate initiatives to be developed through £108m UK programme in Pakistan
Celina Ali
Islamabad: Minister for the Middle East, Afghanistan and Pakistan, Hamish Falconer, announced a new £108 million climate finance programme.
This funding will encourage new climate technologies and private sector investment, benefiting both the planet and Pakistani businesses, said a press note issued here on Thursday, .
Recognizing the global threat posed by climate change, this first-of-its-kind programme will be delivered in partnership with the International Finance Corporation (IFC). As the largest single country blended finance facility, it will invest in local businesses to help them develop the technologies and meet the significant investments needed to adapt to the threats Pakistan faces from climate change.
The UK and IFC will then reinvest any profits from projects back into the facility, financing even more climate solutions. The programme will leverage the £108m the UK puts in to mobilize 5-6 times that amount of investment from the private sector.
The launch event, held in Islamabad, was also attended by Muhammad Aurangzeb, Federal Minister for Finance and Revenue, Ali Pervaiz Malik, Minister of State for Finance, Revenue, and Power and Musadik Masood Malik, Federal Minister for Water Resources.
Announcing the new funding in Islamabad, Minister for the Middle East, Hamish Falconer said, the UK and Pakistan have a long history of working together to tackle tomorrow’s threats today. That’s why we’re investing in the expertise needed and supporting local businesses, alongside the Government of Pakistan, to get ahead of the challenges that climate change poses to the Pakistani people and the world.
“From my own time working as a diplomat in Pakistan to now returning as a Minister, it’s clear that the UK and Pakistan’s partnership continues to go from strength to strength and is essential in tackling shared global challenges.”
IFC Country Manager for Pakistan & Afghanistan, Zeeshan Sheikh, said, this facility reflects IFC’s commitment to supporting Pakistan’s climate resilience and adaptation efforts. We are pleased to be partnering with the UK on an innovative facility that will help crowd-in much needed private investment.”
“As a leading global investor in climate finance, IFC aims to leverage its experience and catalyze private sector financing for climate-smart investments in Pakistan and build a sustainable climate finance ecosystem.”
Today’s announcement follows the launch of the British High Commission, Pakistan supported Cost of Inaction Report, which highlights the estimated cost of inaction on climate change for Pakistan is over one trillion dollars over the next 25 years.
The announcement marks the conclusion of a two-day visit to Pakistan by Hamish Falconer, Minister for the Middle East.
The Minister also met with Pakistan’s Foreign Minister and Deputy Prime Minister, Ishaq Dar, and Interior Minister, Mohsin Naqvi, to discuss shared values and address common challenges, including and regional and global security. He met with Pakistan’s National Assembly Speaker, Sardar Ayaz Sadiq and the Federal Minister for Law and Justice, Azam Tarar, to promote the importance of democracy and fundamental freedoms.
