Minister of Economy Martin GuzmaN, asked this Sunday Financial Facilities To modify the power matrix and the use of funds re-allocated by the International Monetary Fund To help poor countries finance a “productive transition.” It was during the international conference of climate change Organized in Venice, where the G20 Finance Ministers Summit is being held.
In this context, he highlighted the importance of reaching “better financing conditions in our case for energy conversion, to explore sustainable energy that Argentina has.”
It confirmed “There is a religion What did the countries that made? The biggest contribution to climate change With other countries, so it is necessary to manage some issues to improve financing conditions, but also to discuss Debt swap for nature This would undoubtedly help advance this process.”
Debt for Nature is an initiative promoted by financial and environmental experts Swap the foreign debt of a poor country for financing in local currency To preserve nature and protect the environment in that country.
During his speech, the President of the Palacio de Hacienda described climate change as “one of the defining aspects of our time, and perhaps one of the two biggest problems facing humanity today, along with inequality.”
Along these lines, Guzmán explained it Inequality and climate change are the aspects thatThey are related It is a result of how our global systems are organized.”
The minister indicated that there is deep asymmetry globally and argued that carbon prices should be supplemented by regulatory measures because there is “the possibility that advanced economies will go faster than developing economies, and that is something that will be positive for the transition, but we also have to bear in mind that there will be a lot of learning curve when it comes to producing in a way that More environmental.
“If developing countries go slower, they will also learn slower, so this is a transition that we will have to go through anyway,” he added, while also explaining that “ We must have the ingredients to drive productive transformation التحول required in developing countries.
Regarding green investments, the official said: “Also We are facing asymmetry problems“Because” the financing terms of developing and developed economies are very different, both in terms of public financing and private financing. “
“Productive transformation for environmental sustainability is not just a matter of development but also balance of payments stability“he added.
Along the same lines, he considered that “if we advance in carbon prices and developing economies fail to adjust their production structures, they will face balance of payments problems.” It is up to the IMF to examine it. (International Monetary Fund) “.
The Minister of Economy also referred to The new allocation of the International Monetary Fund’s Special Drawing Rights and establishing a fund to help the poorest countries. “The idea of creating a Resilience and Sustainability Fund with the allocation of SDRs that are issued to form a new line of credit on better terms is a very positive idea, because this rule seeks to a certain extent to correct financial disparities,” he said.
In this context, he stated that This fund can be used to “finance measures for productive transformation”. “In more advanced economies, countries have more capacity to tackle climate action, but it is possible to write rules for the global economy to improve both. It is very important that we work on this,” he added.