Africa, LDCs require large scale investments to address consequences of climate change-VP Chilima

Malawi's Vice President Saulos Chilima, who is on an official visit to the United States, has stated that it is clear that African countries and Least Developed Countries (LDCs) require large scale investments to address the devastating consequences of climate change and to be resilient against future occurrences.

Chilima stated this on April 26, 2022, after engaging the UN Capital Development Fund (UNCDF), where he and his team represented the needs and aspirations of both the Least Developed Countries (LDCs) Group on financing toward a green environment, climate resilience, and sustainable development on behalf of His Excellency Dr Lazarus Chakwera, President of the Republic of Malawi.

He said: “Sadly, LDCs, who have contributed the least to climate change, have the least access to affordable finance. The borrowing costs for LDCs have risen substantially and countries have faced difficulties to obtain financing on international markets due to high external debt levels and poor credit ratings.

Chilima stated that to make matters worse, the little funding available to them is being directed toward social services rather than productive investment.

“This discussion was, therefore, very important because it is now imperative that action is taken to increase LDCs access to affordable finance to invest in climate resilience and environmental management,” said Chilima.

Chilima expressed confidence that the dialogue's outcomes will assist all "our countries in reaching the milestone of accessing affordable finance to achieve green and climate resilience for sustainable development."

Meanwhile, Chilima, who was in New York, announced on Wednesday that he and his team will travel to Washington, DC, for a series of meetings.

“My first meeting will be with Mr. Scott Nathan, CEO for Development Finance Corporation to explore opportunities for US investment in the Energy sector including renewable energy in Malawi,” said Chilima.

Chilima and his team arrived in New York, USA where he is participating in the 2022 United Nation (UN) Economic and Social Council (ECOSOC) Forum for Financing Development.

Delegates to the high-level meeting, from 25th to 28th April 2022, are discussing, among other issues, financing for development outcomes and the means of implementation of the Sustainable Development Goals (SDGs).