subscribe Support our award-winning journalism. The Premium package (digital only) is R30 for the first month and thereafter you pay R129 p/m now ad-free for all subscribers.
Subscribe now
Picture: 123RF/NATATRAVEL
Picture: 123RF/NATATRAVEL

COP29 in Baku, Azerbaijan, and the World Economic Forum (WEF) in Davos 2025, bring the need for bold action and collaboration into ever sharper focus particularly for Africa. At the same time SA has assumed the G20 presidency and its agenda includes a focus on climate resilience and the just transition.

COP29 highlighted the urgent need for stronger commitments to climate finance, equitable carbon markets, and accelerated adaptation measures. The announcements of an increased annual climate finance target of $300bn by 2030 and scaling financing for developing countries to $1.3-trillion a year by 2035 remain aspirational without clear paths for delivery. They also to meet the required $1.3-trillion a year that was supposed to start in 2025 this year, as recommended by independent research tasked by the COP26 and COP27 presidencies.

For Africa, this is a wake-up call. The continent continues to receive a disproportionately small share of global climate finance, much of it in the form of loans that in many cases worsen already considerable debt burdens. SA’s Just Energy Transition Partnership (JETP) illustrates these dynamics, with grants representing just 6% of its total funding package.

Nonetheless, COP29 offered some hope with commitments to reform global financial institutions, focusing on simplifying access to funds and reducing delays. These changes, if implemented effectively, could have big impacts for developing economies.

The necessity of adaptation

Adaptation isn’t a luxury for Africa — it’s a necessity since the continent is especially vulnerable to extreme weather events. SA alone faces an adaptation funding gap of R92bn, a challenge compounded by decades of underinvestment in infrastructure.

The enactment of SA’s Climate Change Act is a welcome step, offering a framework for co-ordinated adaptation efforts. These include the launch in 2024 of the JET funding platform, the announcement of a new government guarantee vehicle to derisk green infrastructure projects from 2025 and soon-to-be-announced amendments to public-private partnership (PPP) regulations for investments to finance and deliver critical infrastructure projects.

At Absa, we are set to meet our R100bn sustainable finance target in 2025 and are working on our next target to align our sustainability finance strategy to address adaptation and mitigation, recognising the private sector’s catalytic role.

The Davos platform

Davos is a bridge to COP30 in Brazil, where biodiversity and nature-based solutions will dominate the agenda. The coming conference will emphasise the importance of innovative partnerships and dialogue in mobilising investment and deploying clean technologies. That aligns with the overarching theme of this year’s WEF: Collaboration for the Intelligent Age”, which seeks to address pressing global challenges, including climate change.

The conference is expected to highlight Africa’s leadership in advocating for equitable representation and financing mechanisms that address mitigation and adaptation challenges. Africa must push for policies that prioritise nature-based solutions, ensuring that financial frameworks support sustainable development while protecting vital ecosystems. This focus aligns with the broader global agenda of integrating biodiversity into climate action, particularly as the world grapples with the escalating impact of climate change and biodiversity loss.

I will focus my time in Davos advocating for solutions that resonate with Africa’s needs, including scaling climate finance through mechanisms such as blended finance and green bonds. I will also emphasise the urgency of climate adaptation by promoting resilient infrastructure and community-based solutions tailored to Africa’s unique vulnerabilities. I will also drive home the need to develop stronger public-private collaboration to achieve inclusive and sustainable growth while addressing pressing global sustainability goals.

SA’s G20 [residency serves as a critical link between these global events, providing opportunities to shape international climate action and economic reform, aligning with the country’s  priorities of driving a just energy transition and sustainable development.

At Davos, we can champion the role of the G20 in creating innovative PPPs to address climate challenges and promote inclusive growth. With COP30 on the horizon, SA’s presidency of the enables it to elevate pressing issues such as mobilising finance for JETP and addressing the structural inequalities that prevent sustainable development in the Global South.

By aligning the G20’s priorities with the outcomes of these major events, SA can advocate for actionable solutions to enhance climate resilience, scale up investment in green infrastructure, and promote equitable access to critical minerals vital for the energy transition. This approach positions the country (and Absa) for an important role in driving global strategies that ensure fairness, equity, and sustainability at a time of urgent climate and developmental challenges.

Call to action

The lessons from COP29 are clear: incremental progress is insufficient. I look forward to joining global leaders, policymakers, and business executives to champion solutions that address Africa’s unique climate and economic realities. Together, we have an opportunity to bridge the gap between ambition and action, ensuring that no-one is left behind. At Davos, African leaders can shape the global narrative and demand accountability for past commitments. This is our moment to turn dialogue into action, ensuring that Africa’s voice is not only heard but heeded.

• Modise is the chief strategy and sustainability officer at Absa Group.

subscribe Support our award-winning journalism. The Premium package (digital only) is R30 for the first month and thereafter you pay R129 p/m now ad-free for all subscribers.
Subscribe now

Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.

Speech Bubbles

Please read our Comment Policy before commenting.