Rejoining the Green Climate Fund is an easy win for the new Australian Government’s climate and foreign policy agendas
The briefing was updated in July 2022
Investment decisions today will determine whether the world can address the climate crisis and stay within a 1.5°C Paris Agreement compatible world. A key instrument to allocating finance to the most vulnerable states is the Green Climate Fund (GCF). Established in 2010, the GCF provides assistance to vulnerable states in the form of grants and assistance to accelerate their energy transition and create resilience against climate impacts.
Australia left this multilateral institution in 2019. Its newly elected government could stand to gain on multiple fronts by reengaging to deliver on both its climate and foreign policy objectives. Australia needs a strategy which combines multilateral and bilateral approaches to climate finance.