During this roundtable, the Policy Liaison Group panel explored the role of ESG and sustainable finance in supporting economic development across the Global South. Taking place in the wake of the COP29 climate finance agreement and against an increasingly uncertain geopolitical backdrop, the discussion examined how public and private capital can be mobilised more effectively to meet the needs of developing economies. Participants also considered the importance of locally informed decision-making, innovative financing mechanisms and stronger international partnerships in delivering a just and inclusive transition.
Key contributors:
Members of the panel emphasised that the Global South should not be viewed as a homogeneous group, with effective solutions requiring a deeper understanding of local circumstances and stronger representation from those directly affected. Discussion focused on the persistent gap between international climate finance commitments and the level of investment reaching developing countries, highlighting the need for more effective de-risking mechanisms to attract private capital. The conversation also explored the role of carbon markets, debt-for-climate instruments and alternative financing structures in overcoming fiscal constraints. Against a changing geopolitical landscape, participants argued that trust and collaboration will be critical to delivering sustainable development.
