As world leaders gather at #COP28 in Dubai, a stark truth emerges: crushing debt in the Global South could derail global climate progress. 🌱 A new report reveals 69 countries urgently need $812+ billion in debt relief – money currently spent on interest payments instead of clean energy or climate adaptation.
The Debt-Climate Trap
Countries like Zambia and Sri Lanka now spend more on debt than healthcare 💊, while climate disasters cost developing nations $500+ billion annually. IMF data shows only 7 of 29 low-income countries can afford their climate action plans. 'This isn’t just numbers – it’s survival,' says former UN General Assembly president María Fernanda Espinosa.
Three Fixes on the Table
1️⃣ Debt Surgery: Reform the G20’s ‘Common Framework’ to include middle-income nations and speed up restructuring deals ⚡ 2️⃣ Cheaper Cash: Boost low-interest climate loans as interest rates stay ‘higher for longer’ 📈 3️⃣ Bank Upgrade: Expand multilateral banks to fund renewables at scale 🌞
With carbon levels still rising, the clock is ticking ⏰. As one analyst put it: 'We can’t fix the climate ledger without balancing the financial books first.'
