Development Co-operation Report 2024
Tackling Poverty and Inequalities through the Green Transition
Faced with multiple priorities, including the imperative of accelerating the global green transition, development co-operation providers are at risk of losing sight of a silent, yet devastating crisis that has been unfolding even before the COVID-19 pandemic: the alarming increase of poverty and inequalities in low and middle-income countries. And yet, not only are ending poverty and reducing inequalities at the core of their mandates, both are also essential to meeting their broader ambitions in terms of sustainable development worldwide. What opportunities – and risks – is the climate priority posing for the fight against poverty and inequality? Can just, green transitions reinvigorate development agendas? How can international development co-operation policy and finance help? Bringing together the latest evidence, data and insights from governments, academia, international organisations and civil society, the OECD Development Co-operation Report 2024 provides policy makers with concrete ways of delivering on their commitments to improve the lives of billions while fostering green, just transitions around the world.
Principles guiding welfare impacts of climate action
Reducing the impact of climate change on poor and vulnerable households is essential to hastening poverty reduction. Policy makers can usefully adapt the hazard, exposure and vulnerability framework that is often used to assess the physical impacts of climate change to identify, measure and monitor the welfare benefits and costs of climate action. This chapter starts by discussing how climate change disproportionately affect poor and vulnerable populations and policy priorities that reduce hazards and/or vulnerability while bringing non-climate benefits. It then proposes a framework for assessing the welfare impacts of climate action and examines the three channels through which climate policy affects welfare before putting forth two principles to guide climate policy decisions: prioritise triple and double win policies and identify and minimise costs to poor households.
- Click to access:
-
Click to download PDF - 599.39KBPDF