About the Coalition
Finance Ministers hold the keys to accelerating climate action. They know most clearly the risks posed by climate change, and recognize how taking action could unlock trillions in investments and create millions of jobs through 2030.
The Coalition of Finance Ministers for Climate Action brings together fiscal and economic policymakers from over 90 countries in leading the global climate response and in securing a just transition towards low-carbon resilient development.Learn More
The Helsinki Principles
The six Helsinki Principles guide the Coalition's commitment to #ClimateAction
Helsinki Principle 1: Align Policies with the Paris Agreement
Helsinki Principle 2: Share Experiences & Expertise
Helsinki Principle 3: Promote Carbon Pricing Measures
Helsinki Principle 4: Mainstream Climate in Economic Policies
Helsinki Principle 5: Mobilize Climate Finance
Helsinki Principle 6: Engage in NDC Development
of global carbon emissions
of Global GDP
View recent and upcoming Coalition events, including workshops, webinars and meetings
The Coalition meets during the WB/IMF Spring meetings on April 17, 2024 in Washington, D.C.
The Hague, February 1, 2024
Ministries of Finance from 92 countries work together for climate action
The Coalition of Finance Ministers for Climate Action met on February 1-2 in The Hague, the Netherlands. The Coalition offers a platform for ministers and ministries of Finance from 92 countries and several international organizations to discuss the financial aspects of climate change. Co-chairs Ralien Bekkers (the Netherlands) and Masyita Crystallin (Indonesia) sat down to discuss their goals and hopes for the meeting.
Bridging the gap between countries is part of the Coalition’s core. This is also reflected in its structure. Masyita: ‘The co-chair position by design is filled by one advanced economy, and one emerging or developing economy. Because countries come with different initial conditions, financial situations, emission accumulation, and overall stage of development.’ Countries take the position of co-chair for at least two years, with two possible one-year extensions. Indonesia will soon enter its final year; the Netherlands started as co-chair last year.
The Coalition offers a platform for members to speak plainly. Masyita: ‘We have created a safe space for members to discuss things that are important for climate action but not yet implemented in their own country, or even are still politically sensitive.’ This puts the Coalition in a unique position. ‘We are not making formal decisions, but that also has a positive side’, Ralien adds. ‘Because it is not a formal process, there is room for honest conversation about what is actually working or not.’ She hopes these efforts will find their way into policy. ‘We would like to have more and more Ministers of Finance to take what’s discussed within the Coalition to a G20, to the COP, to other global fora – and of course to their own countries to advance implementation of actions on the ground.’
But it is about more than just convening and speaking. Being able to call upon already proven ideas and ways of implementing climate action as ministries of Finance is an invaluable resource for members, despite the differences between countries. Ralien: ‘Policy instruments – practical implementation – are one of our key focuses as co-chairs. To collectively grow our understanding of what we can do in our own countries and how to do it. To achieve that, we are working to strengthen the peer network and facilitate the exchange of experiences through the Coalition.’
This year marks the fifth anniversary for the Coalition. In that time they have grown substantially, which provides both opportunities and challenges, Masyita states: ‘At the size we’re at right now, you run into the risk of becoming too big. You need a better mechanism to be able to hear everyone’s voice, so we really want to activate our members’ involvement in the Coalition.’ Ralien adds: ‘We want our members to become leaders and champions in their own regions, activating others. Our current chairmanship term will end in 2025, which coincides with an important UN Conference of Parties (COP) and a deadline for the next round of national climate plans. The Coalition advocates for ministries of finance to be more involved in those.’
There are, understandably, some that ask why the ministry of finance is involved in handling climate issues. Masyita: ‘Ministries of Finance are often outside of climate conversations. For example at the COP, Ministries of Finance are generally not part of the “parties” that represent their governments in the negotiations. But the involvement of our ministries helps move climate policy forward. This is part of why the Coalition was formed.’ The climate issues are also often so complex that they touch on many political and societal aspects. Ralien: ‘Climate is becoming part of our core business. It impacts fiscal affairs, it impacts costs; it impacts finance.’
Ministers of Finance Discuss Role of Public and Private Climate Finance at Coalition’s Ministerial Meeting at COP28
Dubai, 4th December 2023
Meeting at the UN Climate Change Conference COP28 in Dubai, Finance Ministers attended the Ministerial Meeting on "The role of Finance Ministers in mobilizing public and private climate finance" organized by the Coalition of Finance Ministers for Climate Action. The Ministerial Meeting was convened under the leadership of Sri Mulyani Indrawati, Minister of Finance of Indonesia and Sigrid Kaag, Minister of Finance of the Netherlands, Co-Chairs of the Coalition.
“Effective climate action, right decisions and prioritization rest on the shoulders of Ministers of Finance” said Sigrid Kaag, Co-Chair of the Coalition, in her opening remarks.
Opening remarks were further provided by Kristalina Georgieva, Managing Director of the International Monetary Fund, Axel von Trotsenburg, Senior Managing Director of the World Bank, Ambassador Majid Al Suwaid, COP28 Director General, and Simon Stiell, Executive Secretary, UNFCCC.
The Ministerial Meeting took place as countries discuss the Global Stocktake which shows that the world faces substantial gaps in achieving the goals of the Paris Agreement. Responding to the challenges faced by Ministries of Finance, Lord Nicholas Stern and Vera Songwe of the London School of Economics Grantham Research Institute on Climate Change and the Environment, presented the Coalition’s flagship report "A Climate Finance Framework: Decisive action to deliver on the Paris Agreement". Key recommendations to Finance Ministries include prioritizing subsidies, focusing on carbon pricing and mobilizing private sector finance.
A panel discussion followed by Tatiana Rosito, Deputy Secretary for Sustainable Finance, Ministry of Finance, Brazil, Benjamin Diokno, Secretary of the Department of Finance, Ministry of Finance, Philippines, Charlotte Vere, Parliamentary Secretary, HM Treasury, United Kingdom.
Building on the publication of its first Climate Action Statement at the 10th Ministerial Meeting during the Annual Meetings in Marrakech, the Ministerial Meeting invited Finance Ministers to share the impact of the policies they are implementing to unlock investment opportunities and mobilize climate finance, as well as share best practices, lessons learned and experiences.
In response, Mihaly Varga, Minister of Finance, Hungary, Azucena Arbeleche, Minister of Economy and Finance, Uruguay, Achim Steiner, Administrator, UNDP, and Werner Hoyer, President, EIB, Wale Edun, Minister of Finance, Nigeria, Mohamed Maait, Minister of Finance, Egypt, Alexia Latortue, Assistant Secretary for International Trade and Development, US, Daniella Stoffel, State Secretary for International Finance, Switzerland, Jennifer Carroll MacNeill, Minister of State Department of Finance, Ireland, Magnus Brunner, Minister of Finance, Austria, Jeppe Bruus, Minister of Taxation, Denmark, Francesca Utili, Director General for International Financial Relations, Italy, Thierry Watrin, Green Economy Advisor, Ministry of Finance, Rwanda made interventions highlighting the role of Finance Ministries in offering the scale, speed and effectiveness of climate action.
In her closing remarks, Sri Mulyani Indrawati, Co-Chair of the Coalition, highlighted the task as well as opportunities ahead for Ministers of Finance to develop and implement ambitious climate action. Sri Mulyani Indrawati also announced the collaboration with the NDC Partnership to provide targeted resources and expertise for Ministries of Finance to actively engage in the development of NDCs and LT-LEDS.
The workshop was organized jointly by Nature and HP5 workstreams to discuss the challenges and opportunities of mobilizing finance for nature and potential policy actions for the Ministries of Finance.
Regional Climate Change Platform of Ministries of Economy and Finance of Latin America and the Caribbean – Presenting the Guide and Coalition Capacity Building Programs
The Coalition of Finance Ministers for Climate Action was invited to present our flagship guide and capacity building catalogue at the second High-Level Dialogue of the Regional Climate Change Platform of the Ministries of Finance, Economy and Finance of Latin America and the Caribbean, in Santiago – Chile.
The Regional Climate Change Platform of the Ministries of Finance, Economy and Finance of Latin America and the Caribbean is an awe inspiring space for knowledge exchange and a unique collaborative work mechanism, which seeks to strengthen economic and fiscal policies in the region to address the challenges that climate change demands.
At their second annual meeting, representatives issued for the first time a joint statement to align their fiscal strategies to promote the transition to low-carbon and climate-resilient economies. The declaration recognizes the strategic role that ministries of finance can play in promoting a sustainable and just transition to net-zero carbon economies and ratifies their commitment to promote green fiscal policies in the region to support the mobilization of private capital towards investments in green technologies and the mitigation of risks associated with the transition to decarbonized economies.
The member countries of the platform committed to contribute to the development of innovative financial mechanisms, improve investment flows, and create pathways for effective resource allocation to support these goals. During the same meeting, Chile's Ministry of Finance assumed the pro tempore presidency of the platform, where the Inter-American Development Bank acts as Secretariat. At this event, the work plan for the period 2023-2024 was also presented and approved, which was prepared based on the main interests expressed by the various countries in the region.
The Platform invited member countries of the Coalition for Finance Ministers for Climate Action to share their experiences in the context of the guide, followed by a brief presentation. Jaime Tramon, representing the Chile Ministry of Finance (and chairing the Platform), offered introductory remarks. Laura Tellez, gave insightful views from the Ministry of Finance of Mexico, followed by Juan Labat’s experience and that of Uruguay. Nick Godfrey presented the Guide, and Frank van Lerven discussed the Coalition’s Climate Action Statement and the rich network of capacity building programs provided by our Institutional Partners.
This blog is authored by Frank van Lerven
Cover photo by victor san martin - Flickr, CC BY-SA 2.0, https://commons.wikimedia.org/w/index.php?curid=3233275