Climate adaptation, mitigation: Country needs $348bn by 2030: Aurangzeb

KARACHI: Federal Minister for Finance and Revenue Senator Muhammad Aurangzeb has said Pakistan needs a staggering $348 billion by 2030 to meet its climate adaptation and mitigation goals.

Speaking virtually at the 3rd Pakistan Climate Conference organised by Overseas Investors Chamber of Commerce and Industry (OICCI) at a local hotel Tuesday, the Finance Minister commended OICCI for organising the moot to address the urgent climate challenges faced by Pakistan.

The two-day event brings together policymakers, business leaders, environmental experts, and thought leaders to tackle the escalating climate crisis facing Pakistan and propose actionable solutions for mitigation and adaptation.

Private sector to lead mitigation challenges posed by climate change

With the nation ranked among the top 10 most climate-vulnerable countries and the devastating 2022 floods causing over $30 billion in damages, the need for climate finance and sustainable solutions has never been more critical, the minister said.

He said mobilizing sufficient climate finance is critical to address Pakistan’s pressing climate challenges. “To achieve this, we must enhance access to international funds such as the Green Climate Fund (GCF) and the Adaptation Fund”, he said.

The success of Pakistan’s first green Eurobond in 2021, which raised $500 million, highlights our potential to attract sustainable investments. Scaling up such initiatives, alongside innovative financing tools like green bonds, sustainability-linked loans, and carbon credits, will empower the private sector to play a larger role in climate action, he added.

The finance minister said the 10-year Country Partnership Framework worth $20 billion recently approved by the World Bank Group (WBG) for Pakistan addressing Climate Resiliency and De-carbonization is a significant development, in this regard, where the government will closely work with the WBG to address key social sector issues for long-term social and economic sustainability of the country.

He emphasised the private sector needs to be in the driving seat to come up with the green invest-able and bankable projects and take the collective journey forward.

He said OICCI, with wealth of global expertise in climate change related initiatives, can certainly play its role in terms of partnering and building a bridge between the policy makers and the private sector. “This collaborative approach will certainly benefit the country to fast track our Climate resilience related efforts as a nation.”

He said the Ministry of Finance remains steadfast in its commitment to creating an enabling environment through fiscal reforms, regulatory support, and capacity building to attract both international and domestic investments in green projects.

He reaffirmed the Ministry of Finance’s commitment to promote an enabling environment through fiscal reforms, regulatory support, and capacity building to attract both international and domestic investments in green projects.

Dr Shamshad Akhtar, Chairperson of the Pakistan Stock Exchange and former Finance Minister, delivered the keynote address and opening remarks. Her speech emphasised the economic risks posed by climate change and the need for integrating resilience into national economic strategies.

Pakistan must urgently focus on nurturing its green finance markets to ensure sustainable development and resilience against climate challenges, Dr Akhtar said.

“This requires developing a strong midterm strategic financing plan that aligns with our climate goals and economic priorities. Climate vulnerabilities are not just environmental risks but also the biggest economic threats we face, especially considering Pakistan’s economic struggles,” she added.

Yousaf Hussain, President of OICCI, reiterated the chamber’s commitment to sustainable development. He emphasized the importance of public-private partnerships and collaborative efforts to achieve Pakistan’s climate goals.

“Pakistan’s position as one of the most climate-vulnerable countries calls for urgent and collective action,” he stated. “This conference serves as a platform to catalyze transformative change, enabling us to address sustainability challenges and build a resilient future.”

The conference agenda features panel discussions and presentations on critical topics, including climate finance, economic impacts of climate change, advancing circularity, de-carbonization, and public-private partnerships for climate resilience. Thought leaders and experts from Pakistan and abroad will share insights to build a cohesive framework for climate action.

Day 2 will focus on actionable strategies, including policy recommendations and business innovations to drive sustainable development. The event will conclude with a unified call to action for stakeholders to implement effective climate solutions.

Organised with the support of leading organizations, the 3rd Pakistan Climate Conference highlights the collective commitment toward sustainability and a secure future for Pakistan.

Copyright Business Recorder, 2025