Finance Secretary Ralph G. Recto said that the country’s hosting of the Loss and Damage Fund (LDF) board is an opportunity to access more climate finance and investments.
“We were chosen because of our strong commitment and concrete climate actions on the ground, and we thank the President for his steadfast support and dedication in making this happen,” Recto said in a statement on Wednesday, July 10.
“Hosting the LDF Board will unlock more opportunities for the Philippines to accelerate its access to climate finance and investments, which are critical for future-proofing our economy and ensuring sustainable and inclusive growth for all Filipinos,” he added.
The Philippines was chosen after a closed-door meeting of the 26-member LDF board in Incheon, South Korea, on Tuesday.
Countries such as Antigua and Barbuda, Armenia, the Bahamas, Barbados, Eswatini, Kenya, and Togo also expressed interest in hosting.
The LDF is a global financial mechanism designed to support countries’ response to and recovery from losses and damages caused by climate change. The Philippines was elected to the board in December last year.
By hosting the LDF Board, the country will play a leading role in helping attract significant support from developed countries and development partners to provide concrete financial contributions in averting, minimizing, and addressing losses and damages.
The country’s active engagement in the LDF will also allow countries worldwide to collaborate with the Philippine government in tackling climate-related challenges.
The World Bank will operationalize the fund for an interim period of four years under an independent secretariat.
So far, rich nations responsible for most of the greenhouse gas emissions have pledged $700 million to the fund, which will be used for climate finance or to help poor countries address the impact of climate change.
President Ferdinand Marcos Jr. established a technical working group (TWG) on March 1 to strategically prepare the country’s bid submission.
The country’s bid offer was spearheaded and prepared by the TWG interagency team composed of the DOF, the Department of Environment and Natural Resources, the Department of Foreign Affairs, the Department of Budget and Management, and the Climate Change Commission.