Global Fiscal Deal – Macron wants to tackle poverty reduction and climate protection at the same time

At the start of a summit for a new global financial deal, French President Emmanuel Macron called for addressing climate protection and fighting poverty at the same time. “No country should have to choose between reducing poverty and protecting the planet,” Macron said in Paris on Thursday. In light of growing inequality, Macron insisted on more public and private funds for this. To date, not enough has been done in both areas.

“Without the private sector, we will not be able to meet this challenge,” the French head of state warned. At the meeting initiated by Macron, representatives from more than 100 countries, international development banks and aid organizations wanted to discuss a more solidary financial system on Thursday and Friday. No binding decisions were taken at the two-day summit, but guidance was expected on how to bridge the growing gap between industrialized countries and countries of the Global South, which are particularly affected by the consequences of climate change. The topics are forgiveness of the debts of these countries and the necessary investments there to confront global warming.

Financial system reform

As Macron said before the meeting, it is about reforming the financial system with the World Bank, the International Monetary Fund and public and private funds to meet the twin challenges of poverty and climate change.

UN Secretary-General António Guterres said at the meeting that the list of things that can be done is long. One does not have to wait for a major reform, but can take action now and take a giant step towards global justice.

Opportunities for a green transition

Minister of Labor and Economy Martin Kucher will represent Chancellor Karl Nehammer (both from the OVP) at the summit. “In order to effectively combat climate change, not only public investment is required, but also critical incentives for private capital,” Kocher said Thursday, according to the broadcast. “By creating a framework that encourages private companies to develop and finance sustainable solutions, we can unlock the full potential of entrepreneurship and innovation. Because at the end of the day, it is the combination of government support and private sector participation that drives us to pave the way for successful transformation of the future. By encouraging Investments in green technologies and sustainable infrastructure while creating incentives, we can not only preserve the environment, but also seize the opportunities of the green transition in terms of economic growth and employment opportunities.”

Ugandan climate activist Vanessa Nakate urged delegates to be mindful of people affected by climate change. She also said: “Development does not need fossil fuels, development needs energy.” Those responsible for pollution must be demanded to pay. (apa, dpa)