Minecofin: Climate financing, an economic imperative
Secretary of State for the National Treasury Richard Tusabe said increasing climate finance is a critical component of a greener, more resilient future. It is an economic imperative.
During the Public Financial Management (PFM) Coordination Forum, held this Wednesday, November 27, 2024 in Kigali, Richard Tusabe, said that achieving climate objectives is not only an environmental necessity, but also an economic imperative, which must however be implemented in compliance with budgetary responsibility.
“Increasing climate finance is essential, but maintaining fiscal responsibility remains equally crucial. Climate finance is the lifeblood of our journey to a greener, more resilient future,” said Richard Tusabe.
“Rwanda’s strong governance framework and commitment to transparency guide its financial decisions, ensuring that resources are efficiently allocated to achieve climate and economic goals,” he added.
Rwandan Secretary for National Treasury, Richard Tusabe, also used the opportunity to call on all stakeholders to mainstream climate finance into their goals, as he said climate change, if poorly managed, has negative implications in all areas of the country’s life.
The Director in charge of affairs and Head of Cooperation at the Belgian Embassy in Kigali, also co-chair of the PFM Coordination Forum, Laurent Preud’homme, congratulated Rwanda for becoming the reference country in the field of climate finance at the African continent level. This is thanks to good collaboration with development partners.
He said that Rwanda will be able to achieve its objectives through the implementation of international standard systems in the management of public finances.
The Public Financial Management (PFM) Coordination Forum was attended by development partners, private sector representatives and civil society organizations. The objective was to discuss the integration of climate finance, while respecting fiscal responsibility.
Rwanda has demonstrated its commitment to sustainable development and climate resilience, recognising the profound impacts of climate change on its economy and society.
To meet its Nationally Determined Contributions (NDCs) under the Paris Climate Agreement, Rwanda has identified the need for climate finance of $6.5 billion from 2020 to 2030. In addition, Rwanda requires an additional $107.7 million to achieve its biodiversity targets.
To address these financial needs, Rwanda has implemented the Climate and Nature Finance Strategy. It reflects an approach to mobilizing and managing financial resources to address both climate change and biodiversity conservation, with a focus on promoting sustainable development that benefits people and the environment.
Currently, climate finance has been integrated into the second National Transformation Strategy (NST2).
