Marrakech, 11 October 2023 – In a significant move underlining the commitment of the world’s leading fiscal and economic policy makers to address the pressing issue of climate change, the Coalition of Finance Ministers for Climate Action unveiled its first-ever Climate Action Statement (CAS).

Boasting over 90 member countries and 26 institutional partners, the Coalition’s CAS spotlights the concerted climate actions planned by Ministries of Finance over the upcoming year. Featuring over 170 climate-focused measures, the CAS is not just a declaration of intent but a compilation of tangible actions. These actions encompass a broad spectrum, from strategic planning and coordination, macro-economic policies, green financing, to carbon pricing and disclosure, taxonomy building and reporting mechanisms.

"Our role as finance ministers is pivotal in shaping the global response to climate change. This statement shows not only our ongoing commitment but also the concrete steps we have already undertaken. The momentum is palpable, and we are undoubtedly stepping up our efforts," said Co-Chair of the Coalition, Deputy Prime Minister and Minister of Finance from the Netherlands, Sigrid Kaag.

Complementing her colleague’s remarks, Co-Chair and Finance Minister for Indonesia, Sri Mulyani Indrawati stated: “The Climate Action Statement signifies not only our recognition of the climate crisis but also our commitment to practical, tangible actions. It reflects our collective determination to safeguard our planet's future, ensuring that economic growth goes hand in hand with environmental responsibility.”

The preparation of the Climate Action Statement was a collaborative endeavor, with significant engagement from many members. "We extend our gratitude to all the colleagues who worked diligently to make this a reality. Your engagement was thorough, constructive, and reflective of our shared ambition," said the Co-Chairs. Under the joint leadership of Indonesia and the Netherlands, the Coalition is increasingly focused on impact and action on the ground, following through on the Coalition’s ministerial discussions.

Recognizing this, the Coalition has decided to publish the Climate Action Statement annually. "Every year during our annual meetings, we will revisit our actions, reflect on our learnings, and use those insights to shape even bolder policies," announced the Co-Chairs.

The role of the Coalition is to support, enable, and empower Finance Ministers and Ministries in accelerating worldwide climate action. By fostering an environment of peer-to-peer learning and open dialogues, the Coalition is striving to tackle shared climate challenges and develop innovative solutions, supported by its expanding network of Institutional Partners.

The Coalition is not just envisioning a sustainable future; it's laying down the practical groundwork for achieving it through its growing catalogue of capacity building initiatives, knowledge products, and concrete demand-driven technical support made available to its members. The Coalition will work to amplify and leverage the expertise of partners to implement effective strategies and to deepen countries’ understanding and implementation of transformative climate policy actions.

• Read the full statement here.
• Read the summary annex of actions here.  

The Coalition was proud to present the flagship guide at the Austrian Ministry of Finance on Monday the 18th of September 2023, as part of their Forum Finanz event series.  We learned that the Austrian Ministry of Finance, alongside other departments, has coordinated and taken a number of important actions to mainstream climate change into their operations. These actions include:

• Austria has targeted net zero by 2040, one decade before the rest of the EU.
• No new coal investments.
• 100% renewable energy by 2030.
• Further implementing the pricing of CO2 emissions within the framework of the national ETS, conducted in gradual manner, whilst preparing for the implementation of EU ETS 2, an ongoing process of interdepartmental cooperation will be intensified.
• Expanding the green Budget screening methodology to the regional and sub- national levels through spending review and integrating greenhouse gas estimates in the green budgeting framework.
• Eco-Social Tax Reform 2022- aims at strengthening social inclusion and combating climate change, thus contributing to expected annual greenhouse gas emission savings of 2.6 million tons by 2030 compared to the baseline-scenario. To reach such objectives, the reform introduces a national CO2 price on fossil energy sources(starting at € 30 in 2022 and to be gradually lifted to € 55 in 2025, followed by market-based price formation from 2026 onwards), and a tax relief worth of € 18 billion by 2025 for people and businesses, comprising i.a. lower personal and corporate income tax rates, a higher “Family Bonus Plus” and relief measures for low-income households. A “Regional Climate Bonus” serves to mitigate the impact of carbon pricing on individuals.
• Financial sector reform – by expanding “Green Financial literacy”, strengthening of green project financing, issuing of green bonds and securities and measurement and monitoring of climate-friendly financial flows.
• Implementing recovery and resilience plan, which includes a spending reviews analysis of the subsidies and incentives with climate and energy policy.

Director General Harald Waiglein, Directorate of Economic Policy and Financial Markets at the Austrian Ministry of Finance opened the proceedings, before handing over to Coalition-Sherpa for Austria, Elisabeth Vitzthum to chair the event.

Pekka Morén, special representative for the Ministry of Finance of Finland and country champion of the Coalition’s Helsinki Principle 2 workstream, then introduced the flagship guide. Technical experts and lead Institutional Partner in producing the flagship guide, Nick Godfrey and Anika Heckwolf from the LSE Grantham Institute, gave a technical presentation of the framework offered in the guide, before Pekka Morén linked the guide to the next steps of capacity building by the Coalition (slides of the presentation are available here).

A panel discussion then followed. Director General Harald Waiglein, Anika Heckwolf, and Pekka Morén, were joined by Fabio Rumler, Head of the Department of International Economics at Oesterreichische Nationalbank and Frank van Lerven, Coordinator at the Coalition’s Secretariat and lead of C3As debt sustainability hub.