Joe Biden’s chance to renew multilateralism for a green recovery

By Kevin P. Gallagher, Professor and Director of the Global Development Policy Centre at Boston University & Co-chair for the ‘Think 20 Task Force on International Finance’ at the G20 for 2021

This blog is part of a thread looking more specifically at the impacts of the COVID-19 crisis in terms of capital flows and debt in developing countries.

The COVID-19 pandemic triggered the worst economic downturn since the Great Depression. World leaders were quick to convene through the G20 to try and stem the crisis but limited by the dismissal of the process by the United States. Newly elected US President Joseph Biden has just issued a game changing new Executive Order declaring that the United States Treasury shall “develop a strategy for how the voice and vote of the United States can be used in international financial institutions, including the World Bank Group and the International Monetary Fund, to promote financing programmes, economic stimulus packages, and debt relief initiatives that are aligned with and support the goals of the Paris Agreement.”

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Europe and Africa need to see eye to eye on climate change

By Carlos Lopes, Professor at the University of Cape Town and former Executive Secretary of the United Nations Economic Commission for Africa (UNECA)

Africa’s most important priority is energy. Clean energy transitions will affect the African continent differently from industrialised regions, such as Europe. Diversifying the energy mix should not trump the need to reduce energy poverty. Energy transitions must meet socio-economic and affordability criteria as embodied in the ethos of the SDGs. But, what is less discussed is the potential for Africa to be a significant contributor to the global clean energy revolution. Beyond its interest to shift from low value extraction towards higher value beneficiation and industrial development, it is positioned to also enrich existing value chains with its abundant renewable resources.

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Africa has the potential to make renewable energy the engine of its growth

By Ibrahim Mayaki, CEO of African Union Development Agency (AUDA-NEPAD)

For the African continent, the stakes are twofold. While Africa is the region of the globe that contributes the least to greenhouse gas emissions, it is the first to be impacted by climate change. Africa has low adaptive capacity and is highly vulnerable to climate variability and natural disasters such as droughts, floods and rising sea-levels, especially affecting low-lying coastal areas. Africa’s food and agriculture sectors are among the most vulnerable to the negative impacts of climate change, which are also exacerbating the lack of access to safe water, water stress and health risks, especially malaria, in the region.

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We must act now to stop the COVID crisis from undermining Africa’s energy future

By Dr Fatih Birol, Executive Director of the International Energy Agency (IEA)


This blog is part of a series on tackling COVID-19 in developing countries. Visit the OECD dedicated page to access the OECD’s data, analysis and recommendations on the health, economic, financial and societal impacts of COVID-19 worldwide.

We must act now to stop the Covid crisis from undermining Africa’s energy future

The COVID-19 pandemic continues to cause major disruptions to societies and economies around the world, and has dealt a worrying blow to years of hard-won progress in reducing the number of people in Africa who lack access to electricity. For seven years in a row, the number of Africans living without electricity has steadily decreased, thanks to efforts from governments, businesses and civil society. But this year, it is set to rise by 13 million amid the turmoil brought by the pandemic, according to IEA analysis. The worst effects are being felt in countries such as Nigeria, the Democratic Republic of the Congo and Niger. By putting energy services out of reach of more and more people, the crisis threatens to deepen their difficulties and those of economies across Africa.

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Africa state of the climate report: an urgent call for climate-related development planning

By Blair Trewin, Lead Author of the World Meteorological Organization’s 2019 State of the Climate report for Africa

Tropical Cyclone Idai approaching the Mozambique coast on 14 March 2019 (Source: NASA)

Africa is highly vulnerable to the influence of the climate. The continent contains many of the world’s least developed countries, who have limited capacity to mitigate against the impacts of extreme events. The continent is also highly dependent on rain-fed agriculture which is at the mercy of fluctuations in rainfall from season to season. Amongst the most vulnerable areas are the semi-arid regions of the Sahel and the Greater Horn of Africa; many of these regions also suffer from unstable security situations, and in the worst cases, drought and conflict can combine to trigger famine, as in Somalia in 2011-12.

Like the rest of the world, Africa is warming. 2019 was likely the third-warmest year on record for the continent, after 2010 and 2016. Over the last 30 years, the continent has been warming at a rate of 0.3 °C to 0.4 °C per decade, a similar rate to the global average for land areas. 2019 was an especially warm year in southern Africa, where parts of South Africa, Namibia and Angola had temperatures more than 2 °C above the 1981-2010 average.

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How can island states reimagine tourism for green recovery?

Riad Meddeb, Senior Principal Advisor for Small Island Developing States, UNDP


This blog is part of a series on tackling COVID-19 in developing countries. Visit the OECD dedicated page to access the OECD’s data, analysis and recommendations on the health, economic, financial and societal impacts of COVID-19 worldwide. This blog is also a part of a thread looking more specifically at the impacts and responses to the COVID-19 crisis in Least Developed Countries (LDCs).

Grenada’s Molinere Bay Underwater Sculpture Park, Molinere Beauséjour Marine. Credit: Grenada Tourism Authority

Small Island Developing States (SIDS) have experienced great success in expanding their tourism industries, particularly over the past 10 years. The industry is an economic lifeline and driver of development for many SIDS. Their rich biodiversity and beautiful ecosystems attracted around 44 million visitors in 2019. However, global travel restrictions imposed as a result of the COVID-19 pandemic have devastated SIDS’ economies. Compared to Gross Domestic Product (GDP), export revenues from tourism represent about 9% of SIDS economies. In countries like St. Lucia and Palau, tourism revenues make up 98 and 88 percent of total exports respectively. It is a vital source of revenue for community livelihoods, disaster recovery, biodiversity and cultural heritage preservation.

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Strengthening the climate resilience of cities through cross-border co-operation

By Richard Clarke, Sahel and West Africa Club Secretariat (SWAC/OECD)

The southern nations of West Africa are beginning to experience the second and shorter of their rainy seasons, whilst those countries further north are seeing the end of theirs. For many the happiness of seeing these rains is mixed with anxieties from memories past and current realities. Exceptionally heavy seasonal rainfall in 2007, 2009, 2013 and 2017 saw several major rivers break their banks, causing destruction of houses, bridges, roads and crops, wrecking livelihoods and displacing vast swathes of the population.

In recent weeks, floods have severely hit parts of Burkina Faso, Ghana, Niger and Nigeria, leading to the death of at least 107 people and affecting hundreds of thousands. In Senegal, a state of emergency has been declared following heavy rainfalls and the death of four citizens, while in Chad nearly 200,000 people have been affected. Yet again, the urgent need for immediate action to mitigate and alleviate the effects of climate change has been exposed.

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Une taxe climat européenne pourrait bénéficier aux pays exportateurs de pétrole

Par Håvard Halland, Economiste au Centre de développement de l’OCDE


Ce blog fait partie d’une série sur la lutte contre le COVID-19 dans les pays en voie de développement. Visitez la page dédiée de l’OCDE pour accéder aux données, analyses et recommandations de l’OCDE sur les impacts sanitaires, économiques, financiers et sociétaux de COVID-19 dans le monde.


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Pour relancer nos économies d’une manière durable dans le sillage de la crise due au Covid-19, l’instauration d’une tarification effective du carbone à l’échelle mondiale reste plus importante que jamais. Cependant, tant que les Etats ne parviendront pas à s’entendre sur la gravité des risques induits par le changement climatique, la mise en place d’un système mondial de taxation des gaz à effet de serre restera une perspective lointaine.

Le mécanisme d’« ajustement carbone aux frontières » envisagé par l’Union européenne (UE) pourrait toutefois être un premier pas vers une réallocation des investissements internationaux dans le sens souhaité. Ambitieux, les nouveaux objectifs climatiques de l’UE exigeront des réductions des émissions non seulement dans le secteur de l’énergie, mais aussi dans les secteurs à forte intensité énergétique comme les industries lourdes, la métallurgie, la pétrochimie, le ciment, les engrais.

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EU climate tax could benefit oil exporters

By Håvard Halland, Senior Economist at the OECD Development Centre


This blog is part of a series on tackling COVID-19 in developing countries. Visit the OECD dedicated page to access the OECD’s data, analysis and recommendations on the health, economic, financial and societal impacts of COVID-19 worldwide.


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In energy-intensive sectors, a carbon border tax could shift the geography of investment.

For a green coronavirus recovery, an effective global price on carbon remains as important as ever before. However, until governments can agree on the severity of the risk posed by climate change, a global tax on greenhouse gas emissions seems a remote prospect. Nonetheless, the “carbon border adjustment mechanism” that the EU is considering could have similar effects on capital allocation – albeit on a smaller scale.

The EU’s ambitious new climate goals will require emissions reductions not only in the energy sector, but also in energy-intensive sectors such as heavy industries, metals, petrochemicals, cement, and fertilizer. To ensure a level playing field between EU companies and foreign firms not subject to EU emissions targets, the EU may implement a border tax on carbon-intensive imports. The combination of high carbon taxes within the EU and a carbon border tax would present energy-intensive industries with a new set of locational choices.

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The health of the planet and intra-generational equity – lessons learnt from a pandemic

By Milindo Chakrabarti, Professor, Jindal School of Government and Public Policy, O.P. Jindal Global University, Haryana and Visiting Fellow, RIS, New Delhi, and Jhalak Aggarwal, Post-Graduate Student, Jindal School of Government and Public Policy, O.P. Jindal Global University, Haryana


This blog is part of a series on tackling COVID-19 in developing countries. Visit the OECD dedicated page to access the OECD’s data, analysis and recommendations on the health, economic, financial and societal impacts of COVID-19 worldwide.


Covid-climate-enviromentAmidst the disorder ushered in by the COVID-19 pandemic, the spread of the virus has curtailed human destruction of the environment. During lockdowns, less cars moved around and less companies dumped their pollutants. At a time when virtually the whole world was under lockdown, “daily global CO2 emissions decreased by 17% by early April 2020 compared with the mean 2019 levels, just under half from changes in surface transport. At their peak, emissions in individual countries decreased by 26% on average” notes a study by the Global Carbon Project published in May. Unfortunately, the trend is reversing with the easing of lockdown measures. The same study predicts that by the end of the year the estimated decline in global carbon emissions will be around 4% if restrictions are lifted, and potentially higher at around 7% if restrictions persist until the end of 2020. Furthermore, to revive and stabilise the economy, attempts are underway to relax environmental regulations and help create new livelihood opportunities to replace those destroyed by the pandemic.

If there is a link between the COVID-19 crisis and emissions declines, reversely, is there a link between the climate crisis and the emergence and spread of the Coronavirus? Continue reading “The health of the planet and intra-generational equity – lessons learnt from a pandemic”