THE PHILIPPINES is the number two recipient of climate financing in Southeast Asia, after Indonesia, the Lowy Institute said in a report.
“Climate development finance disbursements to the Philippines average $1.6 billion per year, making it the second-largest destination of such finance in the region, behind Indonesia,” it said.
“The Philippines is highly vulnerable to natural hazards, facing some of the highest disaster risk levels in the world. Accordingly, multi-hazard response preparedness is the primary purpose of finance for principal projects,” it added.
In 2021, climate development finance to the Philippines was a cumulative $11.1 billion, against Indonesia’s $16.3 billion.
“In Southeast Asia’s larger emerging economies such as Vietnam, Indonesia, and Philippines, official development financing (ODF) is a major source of finance for critical development priorities. All of this makes an understanding of the scale and contours of ODF in Southeast Asia of critical interest to governments in the region and their development partners,” it said.
In the Philippines, financing classified as other official flows are a major form of climate development finance, accounting for 68% of all climate-related disbursements.
The Asian Development Bank was the biggest provider of climate development finance in the Philippines, it said. — Luisa Maria Jacinta C. Jocson