TANATSWA KANDENGA
African countries are finding it more difficult to sustainably exploit their abundant natural resources due to consequences of climate change, which results in diminishing returns along economic value chains, President Emmerson Mnangagwa has said.
He made the remarks at the 56th Session of the United Nations Economic Commission for Africa Conference of African Ministers of Finance, Planning and Economic Development Ministers of Finance, Planning and Economic Development, which ended in the resort town of Victoria Falls on Tuesday this week.
President Mnangagwa said heatwaves, floods, tropical cyclones and prolonged droughts were having devastating impacts on communities, economies and livelihoods.
“….The effects of climate change are increasingly constraining African countries from exploiting their rich natural resource endowments, in a sustainable manner, leading to diminishing returns along economic value chains,” President Mnangagwa said.
He added: “Large numbers of people, especially in Africa and the Global South in general are increasingly at risk of being thrown into vulnerability. For us in Southern Africa, the ongoing El Nino phenomenon is currently affecting weather patterns in some parts of the region with our agriculture and energy sectors negatively impacted.”
The Minister of Finance, Economic Development and Investment Promotion Professor Mthuli Ncube, who also spoke at the minister’s meeting in Victoria Falls weighed in saying: “There is an urgent need for domestic resources mobilization towards financing the transition to inclusive green economies as it helps to mobilize private sector investment in climate change mitigation and adaptation projects.
“According to the United Nations Environment Programme (UNEP), the total cost of transitioning to a low-carbon and climate change-resilient economy in Africa is estimated to be between US$130bn -US$170bn annually until 2030,” Professor Ncube said.
Speaking at the same event, Claver Gatete, United Nations Under-Secretary-General and Executive Secretary of the Economic Commission for Africa (ECA) painted a bleak picture.
“The G20 estimates that we need an additional spending of US$1.8 trillion for climate action and US$1.2 trillion for development financing by 2030,” Gatete said.
He added: “Yet, shrinking fiscal space is now the single most important issue for African ministers of finance, planning and economy. At 2.7% growth in 2023, and a projection of 2.4 per cent in 2024, and with inflation at nearly 20%, the future seems bleak”.
Antonio Pedro, the Deputy Executive Secretary Programs support at the Economic Commission for Africa concurred:
He said: “The continent faces disproportionate burdens and risks arising from climate change related events and patterns. These include prolonged droughts, devastating floods and out of season storms all which deepen our economic vulnerabilities”.
