Egypt and Tunisia are the North African countries that have the most access to financing to support its transition towards a low-carbon economy. The region needs USD280 billion.
Tunisia has access to 48.3% of the needed annual climate financing. Egypt has 35.8% of the funding. Compared to other North African countries, they have more significant financing flows for climate growth, according to a report released by the African Development Bank (AFDB), TAP state news agency said.
North Africa needs USD280 billion between 2020 and 2030 to support its transition towards a low-carbon and climate resilient economy. Pictured, plastic waste collected from the Nile River in Egypt, as part of an event to raise awareness on pollution.
The report mentions disparities between the region’s countries: Tunisia with 48.3% of the needed annual funding and Mauritania with 2.2% of its needs to meet its Nationally Determined Contributions (NDCs). NDCs are countries’ self-defined national climate pledges under the Paris Agreement.
A gap is likewise seen between absolute needs of these countries and actual financing flows. Except for Libya, the public sector and bilateral donors are the main sources of climate financing in North Africa, that is about 80% of total flows, AFDB highlighted.
Priority sectors for climate finance mainly include renewables, transport, agriculture and water management. Financing flows in each country vary by sector, though. Tunisia and Morocco gave priority to investments in renewable energies and energy efficiency while Algeria and Mauritania focused on sustainable agriculture, the bank said.
Source: ANBA
