UN Green Climate Fund Pledges Reach $9.3 bln

The UN’s Green Climate Fund is seeking contributions to fund projects in climate-vulnerable counties over 2024-2027, aiming to exceed the $10 billion - Reuters
The UN’s Green Climate Fund is seeking contributions to fund projects in climate-vulnerable counties over 2024-2027, aiming to exceed the $10 billion - Reuters
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UN Green Climate Fund Pledges Reach $9.3 bln

The UN’s Green Climate Fund is seeking contributions to fund projects in climate-vulnerable counties over 2024-2027, aiming to exceed the $10 billion - Reuters
The UN’s Green Climate Fund is seeking contributions to fund projects in climate-vulnerable counties over 2024-2027, aiming to exceed the $10 billion - Reuters

The United Nations Green Climate Fund reached around $9.3 billion in pledges for its second replenishment round to help vulnerable countries cope with climate change, the fund’s facilitator said on Thursday.

The UN’s Green Climate Fund is seeking contributions to fund projects in climate-vulnerable counties over 2024-2027, aiming to exceed the $10 billion it raised in its last three-year round.

The amount did not include the United States, which is still working on its announcement but its representative said it was not in a position to pledge at a conference in Bonn on Thursday due to ongoing uncertainty in its budget process, according to Reuters.

The amount represents just a fraction of the $200 billion - $250 billion that developing countries will need every year by 2030 to adapt to climate change, according to an estimate given Wednesday in a UN Framework Convention on Climate Change report that showed how the costs of preparing for climate impacts and the damages from extreme weather events continue to mount.

A climate funding conference in Bonn, Germany, on Thursday saw a handful of countries add cash to the Green Climate Fund – the UN’s main funding arm for dispersing climate finance.

Among those donating were Japan, which said it would contribute up to 165 billion yen ($1.11 billion) over 2024-2027, and Norway, which offered around $300 million.

There were no new funding pledges made from the world’s top two polluters, the United States and China.

A US representative said the country was not in a position to pledge due to uncertainty in its domestic budget process, but was “working on” an announcement. China, meanwhile, has yet to agree to join wealthy countries in providing climate finance through the UN system.

Australia, Italy, and Sweden said they also were also working on contributions, but did not make pledges on Thursday. The Green Climate Fund (GCF) is aiming to exceed the $10 billion in contributions it raised in its last three-year round.



Oil Extends Climb on Supply Fears, Trade War Concerns Cap Gains

FILE - Pump jacks extract oil from beneath the ground in North Dakota, May 19, 2021. (AP Photo/Matthew Brown, File)
FILE - Pump jacks extract oil from beneath the ground in North Dakota, May 19, 2021. (AP Photo/Matthew Brown, File)
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Oil Extends Climb on Supply Fears, Trade War Concerns Cap Gains

FILE - Pump jacks extract oil from beneath the ground in North Dakota, May 19, 2021. (AP Photo/Matthew Brown, File)
FILE - Pump jacks extract oil from beneath the ground in North Dakota, May 19, 2021. (AP Photo/Matthew Brown, File)

Oil prices inched higher on Tuesday after threats by US President Donald Trump to impose secondary tariffs on Russian crude and attack Iran, though worries about the impact of a trade war on global growth capped gains.

Brent futures rose 21 cents, or 0.3%, to $74.98 a barrel at 0645 GMT, while US West Texas Intermediate crude futures climbed 22 cents, or 0.3%, to $71.70.

The contracts settled at five-week highs a day earlier.

"Near-term risks are skewed to the upside, with US threats of secondary tariffs on Russian and Iranian oil leading market participants to price for the risks of tighter oil supplies," said Yeap Jun Rong, market strategist at IG, Reuters reported.

However, broader themes still revolve around concerns of upcoming tariffs weighing on global demand, along with prospects of increased supply from OPEC+ and the US, said Yeap.

A Reuters poll of 49 economists and analysts in March projected that oil prices would remain under pressure this year from US tariffs and economic slowdowns in India and China, while OPEC+ increases supply.

Slower global growth would dent fuel demand, which might offset any reduction in supply due to Trump's threats.

After news of Trump's threats initially boosted prices on Monday, traders told Reuters they viewed the president's warnings to Russia, at least, as a bluff.

Trump, on Sunday, told NBC News that he was very angry with Russian President Vladimir Putin and would impose secondary tariffs of 25% to 50% on Russian oil buyers if Moscow tries to block efforts to end the war in Ukraine.

Tariffs on buyers of oil from Russia, the world's second largest oil exporter, would disrupt global supply and hurt Moscow's biggest customers, China and India.

Trump also threatened Iran with similar tariffs and bombings if Tehran did not reach an agreement with the White House over its nuclear program.

"For now, it appears to be just a threat to Russia and Iran. However, if it becomes a reality, it creates plenty of upside risk to the market given the significant oil export volumes from both countries," said ING commodities strategists on Tuesday.

The market will be watching for weekly inventory data from US industry group the American Petroleum Institute later on Tuesday, ahead of official statistics from the Energy Information Administration on Wednesday.

Five analysts surveyed by Reuters estimated on average that US crude inventories fell by about 2.1 million barrels in the week to March 28.