V20 Group launched by Vulnerable Nations to Foster Greater Investment in Climate Resiliency

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Who: V20 Group
Where: Lima, Peru
What: Launched
When: 8 October 2015

Finance Ministers of 20 nations vulnerable to climate change launched the V20 Group on 8 October 2015. The Group launched was during the annual meeting of International Monetary Fund (IMF) and World Bank in Lima, Peru.

The Group aims to pool resources for their fight against the impact of global warming and is a counterpoint to the G20 group of leading industrialised and emerging economies.
With the launch, the V20 Group Finance Ministers also held their inaugural meeting which was chaired by Cesar Purisima, Finance Minister of the Philippines.

Main Highlights of the V20 Group Meet

  • They committed to act collectively to foster a significant increase of public and private finance for climate action from wide-ranging sources, including international, regional and domestic mobilization.
  • They agreed to establish a sovereign V20 Climate Risk Pooling mechanism to distribute economic and financial risks arising due to climate change and ensure enhanced security for jobs, livelihoods, businesses and investors.
  • V20 countries committed to develop or improve their financial accounting models and methodologies to enhance accounting of climate change costs, risks and response co-benefits in all their forms.
  • They voiced support for an international financial transaction tax to aid the mobilization of additional resources for the fight against climate change.
  • They also called for improved access to international climate change finance for adaptation and mitigation action, the fulfillment of the 100 billion dollars commitment to the Green Climate Fund.
  • They also called for acceleration towards a 50:50 balance in resources mobilized given prevailing shortfalls for initiatives to adapt to climate change.

Background

The establishment of the V20 was conceptualised in the 2013 – 2015 Costa Rica Action Plan of the Climate Vulnerable Forum (CVF). The V20 Group represents close to 700 million people threatened by climate change.

The V20 members, all CVF participating countries, comprise: Afghanistan, Bangladesh, Barbados, Bhutan, Costa Rica, Ethiopia, Ghana, Kenya, Kiribati, Madagascar, Maldives, Nepal, Philippines, Rwanda, Saint Lucia, Tanzania, Timor-Leste, Tuvalu, Vanuatu and Vietnam.