Page 22 - Issue 56

ELITE VOL.1, Issue 56, june 2023
ELITE
VOL.1, Issue 56, june 2023

no man left behind

Abdelrahman Mohamed Ismail, 2nd Level, Economics

In his speech during “the new financial As time to curb climate change is running out, a painful -
pact,” President Abdelfattah El-Sisi but not inevitable- trade-off is looming. Developed
addressed President Macron at the end of countries see two paths ahead. Either finance climate
his speech, saying ‘Pioneership is a action in middle income countries that contribute to
responsibility.’ Developed countries have emissions, or aid development and adaptation in poor
failed to deliver their promises regarding countries that contribute next to nothing. And as
financing 100bn USD a year for climate governments spending is highly increasing, accompanied
action in developing countries by 2020, with high cost of finance, rich countries are starting to
reaching only 83.3bn USD. Harder it is now cut development aid to concentrate on climate change.
for developed countries to meet their To be clear, the developed world does not have much of
promises as tougher challenges emerge. a choice, if it does not finance climate action it will be
They now face tight budgets, caused by greatly affected by climate change impacts on both the
schemes of subsidizing domestic production developed and the developing countries. Financing
in sectors that are regarded as national mitigation in middle-income countries helps curb climate
change since middle-income countries contribute to
security, along with higher defence emissions the most after developed ones. Also, financing
spending, higher pension bills, high inflation adaptation in middle-income countries helps reduce
and interest rates. This Leaves little to be shocks and impacts of climate change on middle-income
given away. countries which have strong links with developed

countries through trade and have a greater share in
global GDP than low-income countries do. As a result,
giving more money to middle-income countries will
result in a global economy that is greener and more
resilient. On the other hand, if they chose to aid
development or adaptation in poor countries, which
contribute less to both international trade and emissions,
developed countries would benefit a little, needless to
mention the damage done by climate change.

21