Linking investments to sustainable development has long been weaved into transition economies growth strategies. Aligning green technologies to sustainable development has become a top priority as the momentum for energy efficiency and environment protection gained a worldwide attention.
Her Excellency Sheikha Lubna bint Khalid Al Qasimi, UAE Minister of Foreign Trade, highlighted UAE’s commitment to sustainable development and environment protection during her introductory speech at the UNCTAD High Level Meeting on Green FDI at the Annual Investment Meeting in Dubai.
“Since its formation the UAE has been fully well aware that its understanding of the relationship between trade, environment and sustainable development is the driving force for its commitment to international pacts that emphasize both development and sustainability. The special impact of the Emiratis’ high level of awareness has been the implementation of unprecedented world-class clean environmental projects. Moreover, our country maintains a presence in many international trade meetings including those organized by UNCTAD that underline the concepts of environmental protection and sustainable growth within the field of commerce and trade, ” said Sheikha Lubna bint Khalid Al Qasimi.
UNCTAD statistics and economic indicators points out that the renewable energy sector including recycling proved to be recession-proof and continue to attract substantial investments. The post recession climate change dialogue has generated a steady wave FDI toward emerging markets tapping into the vast potential of resources-rich (sun & wind) fast developing economies.
UNCTAD’s World Investment Report 2010, exclusively unveiled during the Annual Investment Meeting offers optimistic estimate on FDI. Up to USD 90 billion were invested in 2009 “green” initiative and businesses, these figures are expected to grow exponentially in the coming years.
“This is not enough!” hammered Mr. Petko Dragonov, Deputy Secretary General of UNCTAD in his commencement speech ahead of the UNCTAD High Level Meeting on Green FDI. He continued by saying that the scale of the challenge posed above all by climate change requires a massive financial and technological response.
Nazha Bennabes-Taarji presented UNCTAD yearlong research on Green FDI at the AIM UNCTAD event and mentioned that “our estimate indicates that USD 440 billion of investments are needed per year until 2015 to achieve the Copenhagen Accord (follow-up on Kyoto protocols on carbon reduction schemes), and for 2030 the bar is even higher, the target is 1.2 trillion dollars per year.”
Increase in the volume of investment in green transportation systems, green agriculture businesses, green waste management operations, green housings lead have impacted FDI inflows. Green Investments or Green FDI has become a growth engine and a new alternative to help boost emerging markets economic performance.
Has the UAE become a low carbon economy? An outlook at the current, seem to point in that way. The action of Dubai Supreme Council for Energy and the initiative of the International Renewable Energy Agency prove that the UAE are very well aware of the need to create sustainable alternative aimed reducing the dependence to oil & gas.
“Ultimately it is about human behaviors and social contract! Community-based green actions and campaign will have a greater impact on people than policies”, concluded Nima Abu Wardeh, Journalist at BBC & moderator of the AIM UNCTAD High Level Meeting on Green FDI.