Strengthening the International & National Financial Architecture for SIDS Lia Nicholson, Project Consultant Department of Environment Antigua and Barbuda

“Financing the Resilience of SIDS” – Antigua, May 21/22 Context The next decade is critical if the world is to prevent the most catastrophic impacts of climate change 11/23/2018 “Financing the Resilience of SIDS” – Antigua, May 21/22 Source: UNEP Emissions Gap Report, 2017

“Financing the Resilience of SIDS” – Antigua, May 21/22 Context The amount of investment required is in the trillions 11/23/2018 “Financing the Resilience of SIDS” – Antigua, May 21/22 Source: Standing Committee on Finance 2016 Biennial Assessment of Climate Finance

“Financing the Resilience of SIDS” – Antigua, May 21/22 Challenges How do we leverage limited finance for large-scale, transformational impact to mitigate emissions and reduce climate risk? How can SIDS remain relevant, benefit from, and drive change in the international financial architecture? “Financing the Resilience of SIDS” – Antigua, May 21/22 St. John’s, Antigua

‘Best’ Practice – Align with national development National Climate Targets National Development Targets Sustainable Integrated Water Resources Management Extent to which Antiguans and Barbudans participate in the ownership of large scale Transformational enterprises Competitiveness Conditions in the Utility Sector # of days available water supply Adaptation Climate proofing critical services Mainstreaming in financial flows, designing financial products Cross-cutting Align climate projects with national development targets RE energy policy reform Mitigation Circular economy for waste 11/23/2018 “Financing the Resilience of SIDS” – Antigua, May 21/22

‘Best’ Practice – National Financial Architecture e. g ‘Best’ Practice – National Financial Architecture e.g. Antigua and Barbuda RE energy policy reform (SAP) International Entities Mitigation Department of Environment (DOE) Accredited Entities Circular economy for waste Private Sector Entity Mainstreaming in financial flows, designing financial products (SAP) Office of the Prime Minister Cross-cutting Ministry of Finance Executing Entities Design a national financial architecture for climate finance Sustainable Integrated Water Resources Management Ministry of Works Adaptation Public Utility Climate proofing critical services 11/23/2018 “Financing the Resilience of SIDS” – Antigua, May 21/22

Capitalize National Funds – an international best practice Over 30 countries have national funds Channeling finance and linking international and domestic priorities Leverage private sector involvement Increase domestic coordination Recipient countries determine priorities, disbursements and accounting, using international best practice 11/23/2018 “Financing the Resilience of SIDS” – Antigua, May 21/22

‘Best’ Practice – Transforming enabling conditions 10+ years of GEF as executing entity Adaptation Fund accreditation in 2015 AF project approved in March 2017 Green Climate Fund accreditation in October 2017 GCF project approved in March 2018 National Adaptation Planning Readiness (US$3 million) Programmatic Readiness proposal 1 (US$300,000) Country Programme; NDA Strengthening This process has made A&B a great partner Readiness proposal 2 (US$625,000) Accreditation; Enhancing Direct Access project preparation; Training Project-by-project 11/23/2018 “Financing the Resilience of SIDS” – Antigua, May 21/22

Case Study 1: Flooding in a vulnerable village 11/23/2018 “Financing the Resilience of SIDS” – Antigua, May 21/22

Case Study 2: GCF Eastern Caribbean Enhancing Direct Access project USD 20 M Pilot in 3 countries OECS Commission M&E https://www.greenclimate.fund/-/integrated-physical-adaptation-and-community-resilience-through-an-enhanced-direct-access-pilot-in-the-public-private-and-civil-society-sectors-of-thr?inheritRedirect=true&redirect=%2Fwhat-we-do%2Fprojects-programmes 11/23/2018 “Financing the Resilience of SIDS” – Antigua, May 21/22

Case Study 3: Scalability and transformation 11/23/2018 “Financing the Resilience of SIDS” – Antigua, May 21/22

South-South Cooperation 11/23/2018 “Financing the Resilience of SIDS” – Antigua, May 21/22

Build resilience in delivery systems Constant requests for attending meetings and offers of support – financial, technical, other. Now we have a framework to plug these requests into, and to move our action agenda forward 11/23/2018 “Financing the Resilience of SIDS” – Antigua, May 21/22

Actionable Recommendations International Predictability of approval and disbursement Develop and promote direct access to finance Support countries to drive their national resilience agenda Increase accountability of finance Sunset clause Post-disaster debt relief clauses should be the norm 11/23/2018 “Financing the Resilience of SIDS” – Antigua, May 21/22

Actionable Recommendations National Align resilience targets and the national development strategy Develop a national financial architecture to deliver climate finance – public, private, community Ministry for Environment meets environmental and social safeguard requirements National funds can efficiently access and programme funds, and leverage local capital M&E is key for financial accountability 11/23/2018 “Financing the Resilience of SIDS” – Antigua, May 21/22

“Financing the Resilience of SIDS” – Antigua, May 21/22 Contact DOE@ab.gov.ag www.environment.gov.ag @AandBEnviron facebook.com/AandBEnviron Antigua Barbuda Department of Environment 11/23/2018 “Financing the Resilience of SIDS” – Antigua, May 21/22