Comment on UK climate debt deferral partnerships

“Covid reminded how damaging it is for poorer countries to have to struggle to repay debts as massive new costs arise. So developing nations will welcome the UK’s inclusion of clauses in loan agreements that enable them to stop debt payments when disaster hits. However, Macron’s summit in Paris is playing with bigger stakes as we head to the next round of climate talks in Dubai in December.

“Wealthy nations’ 14-year-old pledge of £100bn a year to support poorer nations to deal with climate change is still way overdue. This threatens trust, which is so crucial to any negotiations. And whilst Japan has offered 40% of their International Monetary Fund special drawing rights to developing nations, and France signalled 30%, Britain has offered just 20% - at a time when we have also reduced our overseas development assistance, and are redirecting significant proportions of it into the UK itself.

“All of this comes as climate impacts worsen, with El Niño intensifying those, all over the world. We import half our food, and nearly half of that comes from climate impacts hotspots. At a time of rising food prices driving inflation, financial assistance overseas not only supports and helps people in countries affected, but secures and protects our own food supplies against climate disaster-driven shortages and further prices rises.”