On the 40th anniversary of the Least Developed Countries Report, Pierre Encontre, a former UNCTAD staff member, reflects on the least developed countries category and the challenges ahead.
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“The impact of the LDC Report on global policymaking has been significant, including in advancing strategies for poverty reduction in least developed countries,” says Habib Ouane, former UNCTAD staff member, on the #LDCreport40.
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Just six least developed countries generate over 75% of voluntary market credits and 80% of Clean Development Mechanism credits.
Carbon markets offer a pathway to finance sustainable development, but capturing revenue remains a challenge.
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On the 40th anniversary of the Least Developed Countries Report, former UNCTAD's Taffere Tesfachew congratulates the organization on its remarkable achievement.
What are the pressing issues moving forward? Mr. Tesfachew highlights three areas.
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Least developed countries must strengthen their capacity-building efforts to better address external shocks, which affect their participation in carbon markets.
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“UNCTAD played a noble and pioneering role in assembling crucial data & resisting the political ploy that sought to claim that all 130 developing countries were in the same boat,” says Thomas Weiss, Professor at City University of New York, on the #LDCreport40.
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Evidence suggests that least developed countries made limited strides in building capabilities through carbon projects under the Kyoto Protocol, leaving challenges in their transition to the Paris Agreement.
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“Jeffrey Sachs, the renowned economist, described the launch of the 2002 LDC report as the best study available on why poor countries are trapped in poverty and what can be done about it,” said Charles Gore, University of Glasgow.
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“Least developed countries are highly exposed to climate change and natural disasters, which are increasing in both frequency and intensity,” says Annalisa Primi, Head of the Economic and Transformation Division at the OECD.
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Voluntary carbon markets face significant challenges.
After peaking at 362 million metric tons of carbon dioxide equivalent (MtCO2e) in 2021, demand has declined due to greenwashing concerns.
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“The 40th anniversary of the Least Developed Countries Report is a big milestone,” says David Luke, professor at the London School of Economics and Political Science. youtu.be/7FdEVT_LpCw
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Least developed countries emit less than 4% of global emissions but face severe climate impacts.
Carbon markets must link economic growth with climate action, enabling least developed countries to mobilize funds.
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