Riyadh Boosts Climate Financing with Green Finance Framework
The Ministry of Finance in Saudi Arabia has introduced the Green Finance Framework to ramp up public and private participation in climate financing, as reported by Saudi Press Agency.
This initiative is geared towards propelling the nation closer to its sustainability goals, including achieving net-zero emissions by 2060. The framework is set to play a crucial role in reducing emissions through a circular carbon economy approach and positioning Saudi Arabia as a regional leader in sustainable finance.
Commitment to Paris Agreement
Saudi Arabia announced its ambitious goal of achieving net-zero emissions by 2060 in October 2021. The Kingdom aims to significantly reduce greenhouse gas emissions by 278 million tonnes annually by 2030, aligning with the commitments under the Paris Agreement.
The Paris Agreement, an international treaty on climate change, compels signatories to work towards limiting the global temperature increase to 1.5 °C above pre-industrial levels.
Saudi Green Initiative
Over the past few years, Saudi Arabia has been at the forefront of combating climate change with initiatives like the Saudi Green Initiative. The Kingdom celebrated its first Saudi Green Initiative Day on March 27, emphasizing the importance of sustainability for future generations.
The theme of the celebration was “For Our Today and Their Tomorrow: KSA Together for a Greener Future,” showcasing the collaboration of over 80 public and private sector projects under the SGI.
Renewable Energy and Land Rehabilitation
Saudi Arabia has already deployed 2.8 gigawatts of renewable energy to the national grid, powering more than 520,000 homes. The Kingdom has also planted over 49 million trees and shrubs since 2021, with extensive land rehabilitation efforts underway.
Energy giant Saudi Aramco, in partnership with the Ministry of Energy, is constructing a carbon capture and storage hub in Jubail. Upon completion in 2027, the hub will have a storage capacity of 9 million tonnes annually.