COP29 Day 2: World leaders gather in Baku for UN climate conference

World leaders gather for COP29. Supplied
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Updated 13 November 2024
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COP29 Day 2: World leaders gather in Baku for UN climate conference

  • Top priority at COP29 is landing a hard-fought deal to boost funding for climate action in developing countries
  • African leaders shared national-level initiatives aimed at bolstering climate stability and economic prosperity

RIYADH: Dozens of world leaders convened in Azerbaijan on Tuesday for COP29 as the UN Secretary-General warned of the clock ticking for action to limit global temperature rises.

Speaking at the gathering in Baku, Antonio Guterres said the world is in the “final countdown” to limit global temperature rise to 1.5 degrees Celsius.

He added that 2024 is “almost certain” to be the hottest year on record.

His comments came as leading figures from governments around the world arrived for the summit, although many top politicians are not attending this year’s summit.

US President Joe Biden, China’s Xi Jinping, India’s Narendra Modi and French leader Emmanuel Macron are among G20 leaders missing the event.

The top priority at COP29 is landing a hard-fought deal to boost funding for climate action in developing countries.

Here are some of the key points from day 2 of COP29

African leaders warn of economic toll




Ethiopian President Taye Atske Selassie. Screenshot

During COP29, African leaders shared national-level initiatives aimed at bolstering climate stability and economic prosperity. 

Ethiopian President Taye Atske Selassie emphasized his nation's commitment to environmental restoration, saying: “We were able to plant 40 million trees, expanding our forest coverage to 23.6 percent with the potential to sink 10 billion tonnes of carbon.”  

He noted that Ethiopia has allocated 1 percent of its national budget towards a green legacy and land restoration fund, urging international support for these ongoing efforts. 

Tanzania’s Vice-President, Philip Mpango, highlighted the severe economic toll climate change has on developing nations, noting its current impact on his country.  

He added that Tanzania is losing 2 to 3 percent of its GDP annually due to climate-related damages, estimating the need for $19.2 billion by 2030 to meet its climate adaptation goals. 

Tiemoko Meyliet Kone, vice president of Cote d’Ivoire, outlined the economic risks his nation faces if climate action is not prioritized.  

“Without our bold initiatives, we could see a 13 percent drop in GDP by 2050, with nearly 2 million people falling into poverty,” Koné stated.  

 

Financial need is trillions, not billions, says President of Maldives




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The lack of finance remains one of the main barriers for many countries, especially underdeveloped, to meet their climate goals, the President of Maldives told COP29.

Mohamed Muizzu explained that small island developing states need financing in trillions rather than billions.

“It is the lack of finance that inhibits our ambitions, which is why this COP, the finance COP we need to deliver the new climate finance goal, must reflect the true scale of the climate crisis. The need is in trillions, not billions,” Muizzu said.

Leaders call for an end to half-measures




Kazakhstan’s President Kassym-Jomart Tokayev. Screenshot

At COP 29, leaders stressed the need for urgent, cooperative action on climate change. Kazakhstan’s President Kassym-Jomart Tokayev pledged his country’s resources for the energy transition, emphasizing that demand must be socially responsible.  

Serbian President Aleksandar Vucic warned that while addressing environmental crises is essential, global peace is a prerequisite. He also called for financial solutions to aid smaller, poorer nations unfairly burdened by climate impacts caused by wealthier countries. 

Zimbabwe’s President Emmerson Mnangagwa urged an end to “half-measures,” while Turkiye’s President Recep Tayyip Erdogan highlighted his country’s vulnerability to climate change and its plans to expand nuclear energy capacity by 2050.  

Iraqi President Abdul Latif Rashid emphasized climate justice as a human rights issue, pressing for immediate action to protect current and future generations from the harsh realities of climate change. 

Leaders called for equity in green technology access and stronger global solidarity. Congo’s President Felix Tshisekedi reaffirmed his country’s commitment to biodiversity, and Belarusian President Aleksandr Lukashenko advocated for fair access to green technologies, ensuring developing nations retain autonomy over their resources. 

 

Fossil fuels ‘a gift of the God,’ Azerbaijan President tells COP29




Azerbaijan President Ilham Aliyev. Supplied

Defending fossil fuels and the right of countries to exploit them, Azerbaijan President Ilham Aliyev said: “Quote me that I said that this is a gift of the God, and I want to repeat it today here at this audience.”

He told delegates: “Oil, gas, wind, sun, gold, silver, copper, all ... are natural resources and countries should not be blamed for having them and should not be blamed for bringing these resources to the market, because the market needs them. People need them.”

UK Prime Minister Keir Starmer committed to a more ambitious climate goal for the country, saying greenhouse gas emissions would be cut by 81 percent versus 1990 levels by 2035 at the UN COP29 climate summit.

Last month Britain’s climate advisers, the Committee on Climate Change, made that recommendation to the government.

The emissions cut target recommended by the advisers compared to the current target of a 78 percent reduction by 2035 compared with 1990 levels and excludes international aviation and shipping emissions.

Saudi Arabia present at COP29

 

‘Without collaboration and cooperation ... we cannot hope to survive into the next century’ – Mayor of Kuala Lumpur




Supplied

The Mayor of Kuala Lumpur, Maimunah Sharif, used her address at the summit to highlight the critical issue of plastic pollution and its far-reaching effects.

She warned that by 2040, an estimated 1.3 billion tons of plastic will contaminate the air, water, and food we consume.

“In fact, each of us now has microplastics in our bloodstream, vital organs, and, as of this year, even in babies, in pregnant women,” Sharif said.

 

‘Developing countries must not leave Baku empty-handed’ — UN Secretary-General Antonio Guterres




UN Secretary-General Antonio Guterres​​​​​. Supplied

Guterres used a speech at COP29 to say the forum “must tear down the walls to climate finance.” 

He set out five elements he believes are critical to success: 

  • A significant increase in concessional public finance.
  • A clear indication of how public finance will mobilize the trillions of dollars developing countries need.
  • Tapping innovative sources, particularly levies on shipping, aviation, and fossil fuel extraction. Polluters must pay.
  • A framework for greater accessibility, transparency, and accountability – giving developing countries confidence that the money will materialize
  • Boosting lending capacity for bigger and bolder Multilateral Development Banks. 

Voluntary Carbon Markets

An announcement away from the speeches as Saudi Arabia’s Regional Voluntary Carbon Market Co. today launched its voluntary carbon market exchange platform, bringing 22 domestic and international companies on board on its first day of trading.

The launch of the platform is a major milestone in Saudi Arabia’s ambition to become one of the largest voluntary carbon markets in the world by 2030. It aims to scale up the supply and demand of high-quality carbon credits across the Global South and beyond, driving funding to climate projects that require finance, supporting the transition to global net zero emissions.

Speaking in Baku, Riham El-Gizy, RVCMC’s CEO said: “The message coming into COP is clear: To accelerate global decarbonization we must unlock financial flows to critical climate projects on an enormous scale. High integrity voluntary carbon markets can play an important role in bridging the climate finance gap this decade. But institutional grade infrastructure must be put in place to help buyers and sellers scale up private sector participation and achieve the market’s potential.”

RVCMC was established by the Public Investment Fund and Saudi Tadawul Group Holding Co. in October 2022. PIF holds an 80 percent stake and Tadawul Group holds a 20 percent stake in the company. 


Oil Updates – prices ease on fears of higher output, sluggish demand

Updated 11 sec ago
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Oil Updates – prices ease on fears of higher output, sluggish demand

LONDON: Oil prices slipped in early trade on Thursday, reversing most of the previous session’s gains, weighed down by worries of higher global production amid slow demand growth, with a firmer dollar exacerbating the declines.

Brent crude futures fell 35 cents, or 0.5 percent, to $71.93 a barrel by 7:00 a.m. Saudi time. US West Texas Intermediate crude futures declined 42 cents, or 0.6 percent, to $68.01.

“Oil is tackling the (earlier) weaker demand forecast narrative by OPEC, who deferred rolling back additional production for yet another month, fearing the adverse effect on prices,” said Phillip Nova’s senior market analyst Priyanka Sachdeva in an email.

On Tuesday, OPEC cut its global oil demand growth forecast to 1.82 million bpd in 2024, down from 1.93 million bpd forecast last month, on weak demand in China, India and other regions, sending oil prices to their lowest in nearly two weeks.

Meanwhile, the US Energy Information Administration has slightly raised its expectation of US oil output to an average 13.23 million barrels per day this year, or 300,000 bpd higher than last year’s record 12.93 million bpd, and up from 13.22 million bpd forecast earlier.

The agency also raised its global oil output forecast for 2024 to 102.6 million bpd, from its prior forecast of 102.5 million bpd. For next year, it expects world output of 104.7 million bpd, up from 104.5 million bpd previously.

The EIA’s oil demand growth forecasts are weaker than OPEC’s, at about 1 million bpd in 2024, although that is up from its prior forecast of about 900,000 bpd.

Market participants are now waiting for the International Energy Agency’s oil market report, due later in the day, and the EIA’s US crude oil and product stockpile data for further trading cues.

Concerns about China’s demand remains a key contributor to softening prices, analysts say.

“Despite various stimulus measures implemented by Chinese authorities, there has been little to no improvement in economic activity or sentiment within mainland China,” said Phillip Nova’s Sachdeva.

China continues to be the “sore joint” for oil demand and the primary reason why oil markets are bracing for an oversupply in 2025, she added.

Also weighing on prices, the US dollar rose to near a seven-month high against major currencies on Wednesday after data showed US inflation for October increased in line with expectations, suggesting the Federal Reserve will keep cutting rates.

“..the stronger USD is creating strong headwinds for commodities,” ANZ Research said in a note.

A firmer dollar makes commodities priced in the greenback expensive for buyers using other currencies.


Mizuho to launch Saudi ETF with sovereign fund PIF

Updated 23 sec ago
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Mizuho to launch Saudi ETF with sovereign fund PIF

TOKYO: Japan’s Mizuho Financial Group is partnering with Saudi Arabia’s Public Investment Fund to create a Tokyo-listed exchange-traded fund featuring Saudi shares, providing retail investors easier access to a promising emerging market.

A report from leading Japanese business publication Nikkei says Asset Management One, a joint venture between Mizuho and Dai-ichi Life Holdings, plans to create an ETF this fiscal year, linked to the FTSE Saudi Arabia Index.

The fund will mainly track large, creditworthy stocks such as banks and Saudi Aramco, making it accessible for inexperienced retail investors. The minimum investment is expected to be in the thousands to tens of thousands of yen, putting it under $1,000.

The goal is to attract capital for the fund from a wide range of investors, with PIF and Mizuho Bank as the anchors. Mizuho also will aid PIF’s efforts to raise capital overseas as it aims to strengthen ties with the Saudi finance sector. The Japanese bank will use its fundraising expertise to coach personnel from the sovereign wealth fund, as well as provide support for the country’s transition away from oil.

In April, PIF announced a partnership with BlackRock, the world’s largest asset manager, under which the fund will contribute up to $5 billion to an investment platform that aims to draw money for domestic and overseas investment. Mizuho is the first Japanese private-sector financial institution to partner with PIF.

Nikkei describes Saudi Arabia as “increasingly appealing as an investment destination,” noting how the country’s stock market ranked eighth in the world by market capitalization last year.

This article also appears on Arab News Japan


Saudi PIF raises over $1bn with 2% stc stake sale 

Updated 24 min 26 sec ago
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Saudi PIF raises over $1bn with 2% stc stake sale 

RIYADH: Saudi Arabia’s Public Investment Fund has raised SR3.86 billion ($1.03 billion) through the sale of a 2 percent stake in telecom firm stc. 

The offering, consisting of 100 million shares priced at SR38.6 each, was met with strong demand from both local and international institutional investors, according to a statement. 

The transaction represents the largest accelerated bookbuild offering ever conducted in Saudi Arabia and the broader Middle East and North Africa region, underscoring robust investor appetite for exposure to the region’s telecom sector and strategic assets managed by PIF. 

“PIF reiterates the strategic importance of its ownership in stc and its diverse partnerships with the company through a number of PIF portfolio companies,” the statement said.  

“PIF looks forward to supporting stc’s leading role in shaping the future of the ICT sector in Saudi Arabia, one of its priority sectors,” it added.  

Following the sale, PIF retains a 62 percent ownership in stc, equivalent to 3.1 billion shares.  

The sale aligns with PIF’s broader strategy to recycle capital into emerging sectors within the local economy, as the fund moves toward its vision of becoming a global investment powerhouse.  

Currently managing around $925 billion in assets, PIF aims to drive economic transformation in Saudi Arabia and influence global markets. 

In a disclosure on the Saudi Exchange on Wednesday, it was noted that Goldman Sachs Saudi Arabia and SNB Capital are acting as joint global coordinators and bookrunners for PIF in the transaction. The was to be executed as off-market negotiated deals on Nov. 14, under the Negotiated Deals Framework set by the Saudi Exchange. 

PIF has actively invested in both public and private sectors since its re-launch in 2017, establishing 99 companies and supporting a shift towards a sustainable economy.  

This approach positions Saudi Arabia as an emerging leader in economic and social transformation, providing avenues for both local and global stakeholders to engage in the Kingdom’s evolution. 

With this latest transaction, PIF continues to underscore its dual objectives of capital growth and strategic reinvestment, supporting both economic diversification in Saudi Arabia and the fund's role as a catalyst for sustainable global investment. 


Dogecoin soars as Trump announces a government efficiency group nicknamed DOGE

Updated 14 November 2024
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Dogecoin soars as Trump announces a government efficiency group nicknamed DOGE

  • Dogecoin got a bump after US President-elect Trump named Tesla’s Elon Musk as one of the heads of a new “Department of Government Efficiency,” which is not a government agency but does have the acronym DOGE

NEW YORK: Wow, much bull market.
Dogecoin, the cryptocurrency whose mascot is a super-cute dog that muses things like “much wow,” has been racing higher in value since Donald Trump won the presidential election last week. It got another bump after Trump named Tesla’s Elon Musk as one of the heads of a new “Department of Government Efficiency,” which is not a government agency but does have the acronym DOGE.
All this makes sense and is maybe humorous for anyone who’s chronically online. For others, here’s some explanation about what’s going on:
What is dogecoin?
It’s a cryptocurrency, whose value rises and falls against the US dollar based on however much people will pay for it.
At first, it was seen as a joke. But over time, dogecoin has amassed a group of fans who have periodically sent its price soaring. Like other cryptocurrencies, supporters say it could be used to buy and sell things on the Internet without having to worry about a central bank or government affecting how many are in circulation.
How much has dogecoin climbed?
One dogecoin — which is pronounced dohj-coin — was worth less than 16 cents just before Election Day. It’s since more than doubled to nearly 38 cents, as of Wednesday afternoon, according to CoinDesk. It briefly got above 43 cents earlier Wednesday.
Why is it climbing so much?
Cryptocurrencies have generally been shooting higher since Trump’s election. Bitcoin, which is the most famous digital currency, has set an all-time high above $93,000 after starting the year below $43,000.
Excitement is racing because Trump has embraced crypto and said he wants the United States to be the “crypto capital of the planet” and create a bitcoin “strategic reserve.”
What does Elon Musk have to do with any of this?
Musk has become one of Trump’s close allies. He’s also been one of the most famous fans of dogecoin. In 2021, Musk played a character on “Saturday Night Live” who went by the nickname, the “Dogefather.”
In 2022, Musk made more headlines when he suggested Twitter should perhaps accept dogecoin as payment for subscriptions.
It all came to a head Tuesday, when Trump announced the “Department of Government Efficiency,” which will work from outside the government to offer the White House “advice and guidance” and will partner with the Office of Management and Budget to “drive large scale structural reform, and create an entrepreneurial approach to Government never seen before.”
It has the acronym DOGE, which is also the ticker symbol under which dogecoin trades. Musk will lead it, along with former GOP presidential candidate Vivek Ramaswamy.
This all sounds weird.
Dogecoin’s history is interesting.
In 2021, on April 20, dogecoin fans tried but failed to get its value above $1 on what they were calling “Doge Day.”
April 20 has long been an unofficial holiday for marijuana devotees, and Musk himself has referred to 420 several times in his career, including his tweet in 2018 saying he had secured funding to take Tesla private at a price of $420 per share.
Is the Shiba Inu whose picture is in the meme getting special treats because of all this?
Sadly, no. The dog, whose real name was Kabosu, passed away in Japan earlier this year at 18 years old. Much rest, may she have.


Number of active mining licenses in Saudi Arabia reaches 2,295

Updated 14 November 2024
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Number of active mining licenses in Saudi Arabia reaches 2,295

  • The goal is to transform mining into the third pillar of the national industry and leverage the Kingdom’s vast mineral wealth, estimated at around SR9.3 trillion

RIYADH: Saudi Arabia’s Ministry of Industry and Mineral Resources issued 35 new mining licenses in September, the Saudi Press Agency reported on Wednesday citing the National Center for Industrial and Mining Information.

These permits included 24 exploration licenses, seven quarry licenses for building materials, three reconnaissance licenses, and 1 mining exploitation and small mine license.

Official spokesperson for the ministry, Jaraah bin Mohammed Al-Jaraah, explained that by the end of September 2024, the total number of active mining licenses in the sector had reached 2,295. The majority of these licenses are quarry licenses for building materials, with 1,461 issued, followed by 566 exploration licenses, 203 mining exploitation and small mine licenses, 42 prospecting licenses, and 23 surplus mineral resource licenses.

Al-Jaraah emphasized that the Ministry of Industry and Mineral Resources is focused on protecting and enhancing the value of the mining sector in alignment with Saudi Arabia’s Vision 2030. The goal is to transform mining into the third pillar of the national industry and leverage the Kingdom’s vast mineral wealth, estimated at around SR9.3 trillion.