Policy Updates

On November 19, 2024, Minister for Foreign Affairs Annalena Baerbock traveled to Baku to attend COP29 with Special Representative for International climate policy Jennifer Morgan.

Together with other countries, German Chancellor Scholz signed a statement of the country coalition High Ambition Coalition calling for an increase in international climate financing. The coalition demands increased ambition, yet financing models remain unclear.

The German position is weakened through the Traffic Light coalition break-down on November 6, 2024. Moreover, the German government will likely fail to meet its climate goals, including for international climate finance.

On November 19, 2024, UK Foreign Secretary David Lammy slammed Russia for vetoing a council resolution calling for an immediate end to hostilities in Sudan at the UN Security Council meeting.

A draft of the resolution prepared by the UK and Sierra Leone had called on both sides to immediately cease hostilities, and begin ceasefire discussions. Lamy described the Russian veto as a disgrace.

On November 19, 2024, South Korean President Yoon Suk Yeol pledged to increase its contribution to the IDA’s 21^st replenishment by 45% while attending the G20 Summit in Rio de Janeiro, Brazil.

The contribution amounts to US$604 million (KRW845.6 billion), a 45% increase from the IDA’s 20^th Replenishment.

The World Bank praised South Korea’s decision to increase its contribution and hoped that South Korea’s position as a key player in development finance would be further solidified through the December meetings.

Countries will gather in Seoul on December 5, 2024 to announce their contributions.

On November 18, 2024, Norway announced its contribution to the World Bank's IDA for the period 2026-2028 during Norweigan Prime Minister Jonas Gahr Støre's attendance at the G20 meeting in Rio de Janeiro.

The Norwegian pledge represents an increase of 50% compared to previous replenishment periods. Norway committed NOK5 billion (US$454 million) in this round, which is an increase from NOK3.4 billion (US$303 million) in the previous round.

According to Støre, the Norwegian funding will be used to help provide people with food and access to electricity, as well as to implement measures to address climate change.

Norweigan Minister of International Development Anne Beathe Tvinnereim says that the IDA is one of Norway's most powerful tools in the fight against poverty. She declared that increased support to the IDA is a means of translating the Africa strategy launched in August, 2024, into action by enabling Norway to promote efforts to increase food security and enhance climate-resilient agriculture, areas in which the IDA plays a key role.

A total of NOK600 million (US$54 million) of Norway’s contribution will also be set aside to be used over three years to promote food security.

On November 18, 2024, both the European Parliament and the EU Council published their priorities ahead of COP29 negotiations, which highlighted focus on climate financing, carbon pricing, and national contributions.

The EU and its Member States also issued a statement reaffirming their commitment to strengthen gender integration in global climate action.

The European Parliament called for a NCQG for financing climate action which is socially fair, aligned with the polluter-pays principle, and includes public, private, and innovative financing. The MEPs want the big emerging economies with high emissions and high GDPs to financially contribute to global climate action. They also called for the EU to step up its green diplomacy, and help other countries develop their carbon pricing mechanisms. The Parliament also called to transition away from fossil fuels by stopping the subsidies and reallocating this funding to climate action.

On October 14, the Council had approved the EU’s general negotiating position for COP29, calling for:

• An ambitious and balanced outcome which keeps the 1.5°C temperature goal, in line with COP28 ambitions and absolute reduction targets in NDCs for all greenhouse gasses;
• Making progress on long-term adaptation and resilience, and urgently scaling up mitigation and implementation of the global stocktake decision; and
• An agreement on an effective, achievable, and ambitious NCQG, which includes various flows of finance and a broader group of contributors.

Commissioner Wopke Hoekstra delivered remarks at the opening session of COP29. He highlighted that the challenge to meet the 1.5°C target is political and the EU will continue to lead the effort. Regarding the negotiations on the NCQG on Climate Finance, Hoesktra said public finance should remain at its core, but that it is important to expand the donor base to include those who contribute to emissions. The funding will be dispersed to those most in need. Finally, more resources beyond public sector funding must contribute to this effort.

On the opening day of COP29, the EU and its Member States were joined by 17 other countries on a joint statement, which reiterated the importance of gender issues in the fight against climate change. It underscored the disproportionate effect it has on women and the need for full and equal participation in decision-making processes. It also called for the adoption of a work program on gender and climate at COP29, in line with earlier commitments.

On November, 18, 2024, Development Minister Svenja Schulze traveled to Chad, with the four-day trip focusing on the reception and inclusion of Sudanese refugees.

Schulze highlighted that the humanitarian crisis demands increased attention, and commends the government in Chad for its support to Sudanese refugees. She promised to intensify further support for Chad.

The Sahel region is a priority region. German efforts in the region seek to maintain and strengthen relationships to the West, in particular in light of the increasing role of Russia and the UAE in the region. However, Schulze's commitments come in front of a backdrop of an uncertain Budget situation and a new election scheduled for February 23, 2025.

On November 18, 2024, US President Joe Biden made a pledge of US$4 billion to the World Bank's IDA 21^st replenishment.

The World Bank is seeking a total of US$120 billion, an amount that would require significantly higher contributions by many countries.

The pledge was made during a G20 closed-door session in Brazil, and is a significant jump from the US' previous pledge of US$3.5 billion. However, a vote on the appropriation for the pledge will likely not happen until President-elect Donald Trump takes office. He has promised to cut federal spending, including US ODA.

On 18 November 2024, EC President Ursula von der Leyen delivered a speech at Session I: Social Inclusion and the Fight against Hunger and Poverty at the G20 in Rio de Janeiro.

During her speech at the 1^st Session of the G20 Leaders' Meeting, the president painted a grim picture of the world where climate change, disasters, and conflict are a daily reality. However, she reiterated that the EU is committed to fight poverty, hunger, and social exclusion domestically and internationally. She underlined that globally the EU is the largest provider of ODA, and committed EUR15 billion (US$16 billion) to fight poverty and hunger over the past few 3 years. She also noted that the EU continues to invest in infrastructure and creating jobs through Global Gateway.

On November 17, 2024, during Global Citizen NOW: Rio de Janeiro, von der Leyen and South African President Cyril Ramaphosa launched the global campaign Scaling up Renewables in Africa, together with Global Citizen, and the IEA a policy partner. The one-year long campaign will drive new commitments on policy and finance to mobilize investments from governments, the private sector, and MDBs into renewables in Africa. While Africa holds 60% of the world's best solar resources, the continent attracts only 3% of global energy investment.

Von der Leyen will also invite global leaders to join forces in a new Global Energy Transition Forum, which will bring together governments, international organizations, and financial actors to amplify the implementation of the targets set in COP28 of tripling renewable energy and doubling energy efficiency worldwide.

On the November 17, 2024, the UK announces a major assistance increase of GBP113 million (US$146 million) for people in Sudan and those who have fled to neighboring countries.

The new GBP113 million (US$146 million) assistance package, which doubles the UK’s ODA commitment to Sudan and the region this year, will assist over 600,000 people in Sudan and 700,000 people in neighboring countries who have fled the conflict, including Chad and South Sudan.

Funding announced includes GBP44 million (US$57 million) for Sudan and GBP70 million (US$90 million) of support for countries affected by the conflict including Chad, Uganda, and Libya.

Education Cannot Wait will receive support to provide safe learning spaces and psychosocial support for 200,000 vulnerable children in refugee and host communities in Chad, Ethiopia, Libya, South Sudan, Central African Republic and Uganda.

The UK Foreign Secretary David Lammy will call for the Adre border crossing to remain open indefinitely, for immediate action to end the violence, and a draft UN Security Council resolution introduced to push for the protection of civilians and an unrestricted passage of assistance.

On November 16, 2024, the Australian government announced a partnership with Pacific nations to scale up energy grid transition, and improve energy security with a AUD125 million (US$82 million) investment in renewable energy at COP29..

Australia announced an AUD75 million (US$50 million) investment through the REnew Pacific program to help deliver community scale renewable energy and off-grid power to rural and remote areas in the Pacific.

A further AUD50 million (US$32 million) was pledged through the APPET in order to provide technical assistance which included feasibility studies, energy modelling, and grid studies.

Funding for APPET was being made available by repurposing funds previously allocated to the IPCOS by the former Australian Government.