Present-day order must change for our survival

Scientific evidence, long-term economic projections, and moral imperatives, for example, all provide compelling reasons for urgent effort toward climate mitigation, adaptation, loss and damage.

- A. K. MERCHANT

Scores of international agreements, the Paris Agreement of 2015 chief among them, commit nations to take certain steps. Yet these actions are still to be implemented sufficiently as is evident from various Conference of Parties annual meetings, the latest one at Baku, Azerbaijan from 11 to 22 November.

Although scores of articles have already been published addressing various vantage points of success and failure of COP29, the most recent summit meeting still sent a clear message: The shape of the future is set, and it will be green. Despite controversies and broader geopolitical tensions, the conference brought together leaders from around the world.

In my perspective, there are five takeaways. First, transition is happening—it is only a matter of speed: The transition of hard-to-abate sectors like steel and cement was in the spotlight at COP29. For many of these high-emitting industries, the transition to net zero is now a matter of finance and will power. I believe that a transition to net zero this decade is very much possible. However, a key area for transition is the agriculture sector, which accounts for over one-third of global emissions. Despite its complexity, agriculture remains a key sector for climate. Investors will have to come forward and support the industry's transition to net zero and ensure continued prosperity and security in the decades to come.

Second, development Banks can connect capital with impact: By most estimates, global climate finance needs to increase from USD 1.3 trillion to around USD 4 to 7 trillion by 2030 in order to maintain a 1.50C pathway. As per the New Collective Quantified Goal (NCQG) the developed Global North raised financial commitment from the previous commitment of $100 billion annually to $300 billion by 2035.