COP28: Developing markets to get $10bln in clean energy financing

COP28: Developing markets to get $10bln in clean energy financing

The Arab Coordination Group (ACG) committed on Tuesday to set aside $10 billion in funding until 2030 to support energy transition efforts in the developing world. The strategic alliance of regional and international development institutions announced the allocation at COP28 on Tuesday, according to a statement. The funding further aligns with the group’s earlier pledge of $24 billion and is meant to drive a comprehensive and affordable transition to renewable energy in target economies. The ACG comprises various development funds, including the Abu Dhabi Fund for Development, OPEC Fund for International Development, Arab Bank for Economic Development in Africa, Qatar Fund for Development, Saudi Fund for Development and Kuwait Fund for Arab Economic Development, among others. It seeks to provide coordinated response to development finance. The latest funding is an integral part of the group’s strategic plan to speed up the shift towards clean energy sources worldwide. According to the International Energy Agency (IEA), the developing countries, as well as emerging economies, account for two-thirds of the world’s population but only get one-fifth of investment in clean energy. Annual energy investments in developing and emerging markets have also dropped by around 20% since 2016. Strategic plan As part of the