Azerbaijan's Ministry of Economy champions climate action at COP29 with key initiatives, global partnerships

At COP29, Azerbaijan's Ministry of Economy organized and partnered on a series of events aimed at advancing global climate action. The events, which included discussions, presentations, and meetings with international officials, focused on climate issues and fostering cooperation on sustainable development.

Azerbaijan's Ministry of Economy reported that Trade and Investment House stands were set up in the "Blue" and "Green" zones of COP29, where they engaged with international partners and officials. The Ministry, along with its structures, also held meetings and participated in various panel discussions, where they emphasized the importance of strengthening climate action, Caliber.Az reports.

Key climate documents and initiatives

One of the key highlights of the event was the presentation of the Climate Finance Action Fund, an initiative designed by Azerbaijan to invest in climate action in developing countries. The fund aims to gather capital through voluntary donations from countries rich in hydrocarbon resources and from companies.

Another notable achievement was the launch of the Baku Initiative for Climate Finance, Investment and Trade (BICFIT) Dialogue, which aims to provide a global platform to support the development of integrated approaches to climate issues. A Joint Declaration on the BICFIT Dialogue was adopted at the event, outlining its role in promoting climate investments and fostering joint solutions through dialogue.

The Global Green Growth Lab (Yaşıl Artım Portalı) was also presented. Developed through cooperation between the Ministry of Economy and Harvard University's Growth Lab, the portal will help identify and capitalize on green growth opportunities in countries transitioning to sustainable energy systems.

Additionally, the Baku Declaration on Partnership with CAREC on Climate, Innovation and Trade was signed under the Ministry's organization. This declaration aims to enhance collaboration in tackling climate risks, ensuring water, energy, and food security, and advancing low-carbon solutions.

Another significant achievement was the signing of the Baku Ministerial Statement during an event within the Organization of Turkic States (OTS), establishing the OTS Partnership for Climate, Innovation, Green Economy, and Trade. The statement articulates a shared vision for a future driven by innovation, sustainable development, and green growth.

The SPECA Multilateral Trust Fund was announced, offering a flexible mechanism for addressing shared challenges like climate change, economic integration, and sustainable development. Furthermore, the Baku Joint Ministerial Statement on establishing the Dialogue on Climate and Innovation was signed, marking a crucial step towards achieving a low-carbon economy.

A Declaration of Intent was also signed at the SPECA Green Cities Leaders' Roundtable to create a Climate Smart Cities Forum, where participating cities will collaborate to achieve common climate goals.

Focused discussions on climate action

Several high-level events and panel sessions took place, discussing innovative solutions and practical steps to combat climate change. A high-level session “The Power of Collaboration: Unifying forces for Net-Zero”, organized by the Ministry of Economy, AZPROMO, and the World Economic Forum, called on all sectors – governments, businesses, and civil society – to take collective responsibility in the fight against climate change.

The Climate Platform of Business, Investment, and Philanthropy brought together international organizations to discuss innovative financial solutions, decarbonization strategies, and promoting sustainability in developing countries. Sessions emphasized strengthening public-private partnerships to accelerate climate action.

The panel session “Public-Private Partnership: Expanding Investment Opportunities in Climate Action” discussed the use of various financial instruments to develop smart climate infrastructure. Meanwhile, the panel on “The Role of Public-Private Partnerships in Water Resources Management” focused on applying innovation, efficiency, and sustainability principles to water infrastructure projects.

The Ministry of Economy also hosted a panel on “Carbon Pricing: Existing Challenges and New Strategies”, led by the State Tax Service, which addressed effective methods of carbon abatement. Additionally, a roundtable on the Carbon Border Adjustment Mechanism (CBAM) was held, along with discussions on “The Role of Tax Policy in a Just Transition”, organized in collaboration with PwC Azerbaijan and Extreme Hangout.

By Vafa Guliyeva