The world needs to find the $ five trillion needed for climate finance, the chief of the International Monetary Fund (IMF) said on Saturday.
She also said that the world needs “to put our money where our mouth is” as she talked during the third day of COP28 in Dubai.
Kristalina Georgieva, IMF Chief Executive Officer, delivered the keynote address at the Business and Philanthropy Forum on Saturday.
During her speech, she said that “We need to go from $900 million – where we are now to – $5 trillion to make decarbonisation a reality and the question is, is $5 trillion, a lot of money?”
“Well, it’s obviously not a little but put $5 trillion next to $7.1 trillion direct and indirect subsidies, or next to the size of the world economy, which is over 100 trillion. I think we should be brave and say yes, it can be done.” she explained.
Fossil fuel direct subsidies soared to reach a record $1.3 trillion this year due to support measures which were a result of the cost-of-living crisis, Georgieva added.
She also highlighted that reaching the $ five trillion “will be a lot faster” if the private sector was more incentivised to help in moving toward blending financing.
