Statement delivered by Hon. Dulcie Tei, Honorable Member of Parliament, Tonga
V20 MINISTERIAL DIALOGUE XII
16 April 2024
Hon. Dulcie Tei, Honorable Member of Parliament, Tonga
Excellencies, ladies and gentlemen, Tonga is honored to address this assembly of finance ministers from the Climate Vulnerable Forum in Washington D.C.
We wish to express our appreciation to Ghana and Minister Adam for the leadership and for establishing the CVF V20 Secretariat in Accra, Ghana.
Being an island nation on the frontlines of the climate crisis, we fully acknowledge the pivotal role played by finance ministries in leading the way for climate action. This is true for promoting and increasing climate financing through innovative means.
Our top priority, as a country with low greenhouse gas emissions, is to prioritize building resilience to climate change. Our aim is to safeguard the progress we have made as an island nation and ensure the prosperity of all Tongans. In all economies like ours, where sustainable economic growth opportunities are limited, external shocks such as natural disasters caused by climate change have a long-lasting effect on our overall economic situation, setting us back by several decades in terms of development.
Chair, the increased frequency and intensity of climate-induced disasters continue to constrain our fiscal space for development. Without proper intervention, this problem will continue to create a detrimental cycle as it has already demonstrated in most V20 nations and it deserves the utmost attention. We call on the global community to guarantee that developing countries have adequate access to concessional funding by tripling the International Development Association, IDA, of the World Bank, there should also be a renewed focus on expanding concessional access with new resources for climate vulnerable countries, especially through a Small Islands Developing States specific financing window in multilateral finance.
We also call for creativity and action in dealing with debt issues, especially in countries with unsustainable levels of debt. The focus should be on debt restructuring with active pursuit of options like debt-for-climate swaps, debt pardons and relief.
These proposals hold great importance, and it is imperative that MDBs, the IMF and other financing institutions give them immediate attention and implement them with the backing of the G7 and G20 group of countries.
Tonga, as a recipient nation, strongly supports the proposal to increase funding for the G7, V20 Global Shield against Climate Risks to USD 500 million by 2024. This initiative aims to significantly reduce the existing 98 percent financial and social protection disparities in climate vulnerable economies. It will achieve this through the establishment of prearranged and trigger-based funds and financing which will enhance particularly — and risk sharing. Strengthening regional risk pools will be the key to achieving this.
We are collaborating with PCRIC in this area, and are looking to expand certain solutions with financial assistance from the Global Shield.
I thank you.
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