Abu Dhabi, the capital of the United Arab Emirates (UAE), is launching a new Global Climate Finance Centre (GCFC) to “accelerate global climate finance and market design.”
More specifically, the GCFC aims to accelerate the development of climate finance frameworks, foster essential skills, and champion best practices both in the UAE and globally, founding member Abu Dhabi Global Market (ADGM) explains in a statement.
The centre, to be headquartered in the ADGM, was first announced at COP28 by the Summit President-Designate Dr. Sultan Al Jaber during the Finance Session panel on December 1. Further details were revealed yesterday, also at COP, by H.E. Ahmed Jasim Al Zaabi, the Chairman of ADGM and Abu Dhabi Department of Economic Development (ADDED).
“Abu Dhabi knows how to deliver rapid progress, which is increasingly critical as we respond to global economic and environmental challenges. Just as we have built ADGM as a pioneering International Financial Centre in just eight years, it is now time for Abu Dhabi to build a new pioneer for global climate finance,” H.E. Ahmed Jasim Al Zaabi said, adding:
“This new GCFC will unlock new capital flows into the region as the Emirate becomes a key marketplace for sustainable finance, building upon ADGM’s progressive Sustainable Finance Regulatory Framework. Our ambition is for the benefits of this world-leading facility to touch every corner of our planet.”
According to Al Zaabi, the GCFC will operate as an independent think-tank and research hub, conducting cutting-edge research to align frameworks internationally and facilitate greater investment in low-carbon and sustainable projects.
Related Articles: COP28: Climate Finance in the Spotlight | World Bank to Spend 45% of Its Financing on Climate-Related Projects | COP28: Danish Investment Firm Launches $3 Billion Clean Energy Fund
It will play a pivotal role in advisory and stakeholder engagement, bringing together private and public stakeholders to “develop recommendations and actions that are targeted to deploy funds and incentivize the creation of strong pipelines of bankable investment opportunities.”
The GCFC will also establish a Climate Finance Academy, leveraging Abu Dhabi’s experience in green finance markets. Through training modules and tailored courses, the academy will build expertise and capacity in the UAE, positioning itself as a global thought leader and fostering collaboration with other jurisdictions to develop “tailored financial frameworks well aligned with Abu Dhabi..”
“Together these initiatives will build capacity in UAE and global financial institutions; scale up green finance market activity and ecosystems; and catalyze international investment into low and zero-carbon initiatives,” ADGM writes.
Other Founding Members of the GCFC, apart from ADGM, include ADQ, BlackRock, Children’s Investment Fund Foundation (CIFF), Glasgow Financial Alliance for Net Zero (GFANZ), HSBC, Masdar, Ninety One, and the World Bank Group. These will “provide strategic direction to the GCFC, drawing on their deep expertise, experience, and networks.”
Editor’s Note: The opinions expressed here by the authors are their own, not those of Impakter.com — In the Featured Photo: His Excellency Dr. Sultan Al Jaber, COP28 President speaks at the Zayed Sustainability Prize Awards Ceremony during the UN Climate Change Conference COP28 at Expo City Dubai on December 1, 2023, in Dubai, United Arab Emirates. Featured Photo Credit: UNFCC / COP28 / Anthony Fleyhan.