Though we face a global climate crisis, the signals emanating from the most powerful actors on the world’s climate finance stage are not encouraging. It seems that the quest for profits and the creation of new environmental markets as sources of ‘green business’ are prevailing over the need to find solutions and funding sources which are just, effective and sustainable.
In the ABC of current climate finance, the central actors are industrialised “Annex 1” countries, powerful banks and transnational companies. Annex 1 countries are anxious to minimise the cost of addressing climate change – which they are responsible for – and are designing a climate change regime that will attract private finance. As a result, climate change is rapidly developing into an excellent business opportunity for banks and business. Consequently, they are lobbying strongly for a climate change agreement that takes their concerns and priorities into account.