Nuku’alofa, 30 September 2024 – Tonga recently hosted the inaugural workshop of the Global Shield against Climate Risks, an initiative jointly led by the G7 and V20 Group. Organized under the leadership of the Ministry of Finance, the workshop brought together key stakeholders to evaluate Tonga’s current landscape of climate and disaster risk financing and insurance, while identifying key gaps in financial protection that need to be addressed.
Climate and disaster risk management is a key priority for Tonga, to ensure continued progress in building the resilience of its population. The workshop marked the first step in a targeted approach to strengthen Tonga’s preparedness and mitigation of disaster risks on appropriate financial measures and instruments, by convening key local stakeholders and pointed to the crucial need, not only to enhance commitment and engagement from decision makers on climate and disaster risk finance and insurance (CDRFI), but also the need for awareness and a multi-stakeholder approach to capacity building of CDFRI solutions.
The two-day workshop aimed to foster collaboration among key representatives from Tonga’s CDRFI sector. Through in-depth discussions and trainingparticipants explored ways to enhance the country’s financial resilience by employing a multi-stakeholder approach, while deepning their understanding of Tonga’s existing CDRFI landscape, as well as identifying key implementation gaps and opportunities for impactful financial interventions.
As one of the world’s most climate-vulnerable nations, Tonga faces a range of natural hazards, including tropical cyclones, storms, volcanic eruptions, and droughts. In recent years, the country has experienced rising sea levels, more frequent and intense cyclones, coastal erosion, and flash floods. These escalating climate risks have profound social and economic consequences, underscoring the urgent need for more robust financial protection mechanisms to safeguard against climate and disaster-related losses.
Hon. Tiofilusi Tiueti, Minister for Finance of Tonga, in his opening remarks stressed that,
- As we come together, it is important to recognize the grave danger that climate change poses to Pacific Island nations. The frequency and intensity of rising sea levels, cyclones, and droughts are increasing, posing a significant risk to our communities, livelihoods, and overall way of life. The government has a responsibility to safeguard the lives and livelihoods of those affected by climate change and disasters.
- The global financial system serves as a secure foundation for wealthy countries in times of crisis, but its cracks can swallow developing nations. The smaller we are, the further we can fall.
- The global finance architecture is not equipped to handle the impacts of climate change and must be reformed immediately. Without action, these climate policies and strategies will remain mere documents with good intentions instead of serving as comprehensive plans for the necessary steps we must take.
The first round of consultations in Tonga under the Global Shield highlights the critical need for an inclusive, country-led approach to tackling the challenges of climate change. The Global Shield is committed to supporting Tonga in its efforts to safeguard its most at-risk populations and build long-term climate resilience.
© Chewy Lin
Launched at COP27 by the Vulnerable Twenty (V20) Group of Finance Ministers and the Group of Seven (G7), the Global Shield against Climate Risks aims to increase protection for climate-vulnerable economies and communities by providing and facilitating substantially more and better pre-arranged and trigger-based finance against disasters and climate risks. Greater financial protection and faster and more reliable disaster preparedness and response will contribute to effectively responding to losses and damages from climate change.
PRESS CONTACTS
Global Shield Secretariat: secretariat@globalshield.org