'We won't accept pennies': Cop29 protests demand climate funding


Tim Stickings
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Climate change activists increased pressure on a UN summit on Thursday to put up the trillions of dollars they say are needed to protect the planet.

Rows of protesters spelt out the message “pay up” from the upper tier of the football stadium in Baku, Azerbaijan, where Cop29 is taking place. On a day of demonstrations, people rallied near the summit entrance for causes including climate reparations, plant-based food, anti-nuclear power and Palestine.

The message of the Baku Stadium stunt was that “there's enough money available from the historical polluters, from the developed countries,” German climate activist Line Niedeggen told The National. “They finally have to stop delaying and pretending like it’s somebody else’s responsibility”.

Activists climbed to the upper tier of the Baku Stadium to display their message to Cop29 negotiators. AP
Activists climbed to the upper tier of the Baku Stadium to display their message to Cop29 negotiators. AP

Negotiations are in full swing at Cop29 on a pledge potentially worth more than $1 trillion for developing countries to fight climate change. The sum is not the only point of contention, with the US pushing for rising economic powers to chip in, while others such as Brazil are unwilling to widen the donor base.

One banner held up in Baku told rich countries: “You owe us”. Others urged them to cut military spending or pay into a “loss and damage” fund for dealing with climate disasters. A mocked-up receipt asked developed nations to pay as much as $5 trillion towards the world's green efforts.

“We are fighting so that we can get a deal that is meaningful because we will not accept any deal that is less than the trillions that are needed,” said Lidy Nacpil, an activist from the Philippines representing the Asian Peoples' Movement on Debt and Development.

“We are not willing to accept pennies in this Cop,” she told The National. “We are going to pressure and we are going to fight hard. If they don't succeed in this Cop we will continue to fight until the next.”

The war in the Middle East was one of several causes given a voice during demonstrations around the Cop29 venue on Thursday. AP
The war in the Middle East was one of several causes given a voice during demonstrations around the Cop29 venue on Thursday. AP

Some protesters wore a black-and-white keffiyeh as a symbol of pro-Palestine solidarity and held up slogans of “liberation” or “defund genocide”. A Gaza protest was held on day one of the summit as campaigners sought to portray Palestine and climate change as two sides of the same struggle against injustice.

Tensions surfaced between Azerbaijan and two European countries on Thursday after the host country's President Ilham Aliyev used a speech to small island states to allege breaches by France and the Netherlands in their overseas territories, remnants of colonial empires.

French Climate Minister Agnes Pannier-Runacher cancelled a trip to Cop29 over Mr Aliyev's remarks, which the EUon Thursday called “most regrettable”. Azerbaijan's top negotiator Yalchin Rafiyev said the host country's “doors are still open”.

Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.

Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.

Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.

Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.

“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.

Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.

From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.

Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.

BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.

Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.

Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.

“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.

Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.

“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.

“In this environment, we have seen a de facto increase in the risk that clients are taking in things like illiquid investments, private equity investments, infrastructure and private debt, those kind of investments were higher illiquidity results in incrementally higher returns.”

The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”

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Bayern Munich v Real Madrid

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Day 5, Abu Dhabi Test: At a glance

Moment of the day When Dilruwan Perera dismissed Yasir Shah to end Pakistan’s limp resistance, the Sri Lankans charged around the field with the fevered delirium of a side not used to winning. Trouble was, they had not. The delivery was deemed a no ball. Sri Lanka had a nervy wait, but it was merely a stay of execution for the beleaguered hosts.

Stat of the day – 5 Pakistan have lost all 10 wickets on the fifth day of a Test five times since the start of 2016. It is an alarming departure for a side who had apparently erased regular collapses from their resume. “The only thing I can say, it’s not a mitigating excuse at all, but that’s a young batting line up, obviously trying to find their way,” said Mickey Arthur, Pakistan’s coach.

The verdict Test matches in the UAE are known for speeding up on the last two days, but this was extreme. The first two innings of this Test took 11 sessions to complete. The remaining two were done in less than four. The nature of Pakistan’s capitulation at the end showed just how difficult the transition is going to be in the post Misbah-ul-Haq era.

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Updated: November 15, 2024, 4:23 AM`