Pacific Island countries require approximately US$1.5 billion annually for climate action, yet receive only a fraction of that amount, leaving a financing gap of nearly US$1 billion each year.
To bridge this shortfall, Pacific nations are creating innovative and blended financing mechanisms aimed at strengthening climate resilience and sustainable development.
Minister for Information, Environment and Climate Change Hon. Lynda Tabuya highlighted this while speaking at the Scaling Nature-Positive Solutions for Whole-of-Island Benefits side event during the Eighth Global Environment Facility (GEF) Assembly in Samarkand, Uzbekistan this week.
Minister Tabuya said Pacific Island countries currently receive between only USD 0.2 and 0.6 billion per year, despite facing growing climate-related challenges. She noted that adaptation needs alone are estimated at US$3.3 billion per year.
She said the Pacific is responding by establishing innovative financing mechanisms, including the Pacific Resilience Facility, the Fiji Rural Electrification Fund and the Sustainable Pacific Blue Circle Fund.
The Minister stressed that international funding mechanisms such as the Global Environment Facility (GEF) continue to play a critical catalytic role by supporting policy reforms, strengthening institutions and helping governments attract further investment.
Speaking on the importance of nature-positive development, Minister Tabuya said nature is central to the identity, economies and resilience of Small Island Developing States (SIDS).
SIDS are global leaders on climate change, plastic pollution, ocean governance and financial system reform.
The Minister also highlighted that Fiji has mobilised USD 32 million to implement our national environment and climate priorities and leveraged nearly five times that amount through co-financing.
Minister Tabuya called for faster and more streamlined access to vertical funds, strengthened technology transfer, and partnerships that include governments, communities, development partners and the private sector.
The side event was co-hosted by the United Nations Development Programme and the SIDS Coalition for Nature on the margins of the Eighth GEF Assembly.