2024-07-26 17:26:33
COP29 Chief Negotiator, Deputy Foreign Minister of Azerbaijan Yalcin Rafiyev, during the presentation of the COP29 Presidency Action Plan, announced how the funds of the Climate Financing Action Fund (CFAF) proposed by Azerbaijan for creation could be distributed, Day.Az reported on Friday.
“CFAF is the first initiative of the Azerbaijani presidency in the COP. The key areas of investment activities of this Fund are as follows: 50% of the capital will be directed to climate projects in developing countries, to promote the introduction of clean energy technologies, to increase energy efficiency, to increase the resilience of sensitive groups of the population to climate change and to promote the development of advanced technologies. The other 50% of the expected contributions to this Fund will be directed to assist in the implementation of NDCs (national commitments to reduce emissions) with the aim of limiting the target of temperature increase on Earth to 1.5°C,” Rafiyev noted.
According to him, the Fund will generate income, and 20% of the income received from investments will be accumulated in a special Rapid Response Fund (2R2F) to provide grant-based concessional support to developing countries in need.
“The 2R2F mechanism will ensure immediate availability of financial resources to eliminate adverse climate impacts or in the event of natural disasters. During the 7 months of negotiations with developing countries, we have received many requests, in particular from small island states, that in the event of natural disasters these states receive a delayed response from international financial institutions. Our idea can solve the issue of rapid assistance to countries facing disasters,” explained the COP29 chief negotiator.
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