For Press

28/04/2017

Annual deficit of funding “green” projects equates to $100 million

According to the results of the research carried out within the framework of the BIOFIN global initiative, the shortage of funds for activities to preserve biodiversity in the Republic of Kazakhstan equates to more than $100 million annually.

The need to involve large companies in issues of biodiversity conservation and sustainable nature management was discussed today at an international conference called “Green financing of sustainable environment and biodiversity conservation” that was held in Almaty, Kazakhstan, and sponsored by Astana International Financial Centre (AIFC) and «Kazakhstan association of oil, gas and energy sector organizations «KAZENERGY».

The event gathered a massive interest from the representatives of International center of science and technology, JSC “National Company “Astana EXPO-2017”, and extractive sector enterprises.

 “Currently in the world, great attention is paid to a biodiversity funding problem. Finding a solution to the problem is a key goal for the countries of the Convention of biodiversity. Under the successful use of innovative approaches, which will integrate into global environment of green economics, the solution will be a very reachable outcome,” - stated by Talgat Kerteshev, manager of UNDP projects on biodiversity in Kazakhstan.

Aidar Kazybaev, Managing Director of the AIFC Authority informed that the achievement of the Sustainable Development Goals requires the active participation of the financial sector representatives. “The implementation and development of green financing tools at the AIFC such as green bonds, green credits, and organized trade quotas on CO2 emission are the mechanisms that will accelerate the transition to a green economy and allow Kazakhstan to fully fulfil its obligations under the Paris Climate Agreement,” – he explained.    

 Following the results of the conference, the participants signed a joint statement on support and joint efforts in the implementation of Kazakhstan's green projects. In the future, it is expected that within the framework of the Astana Economic Forum on June 15-16, 2017 the interested companies will report on the readiness of funding projects to conserve biodiversity in Kazakhstan.

 

Reference:

AIFC. In December 2015 President of the Republic of Kazakhstan Nursultan Nazarbayev signed the Constitutional law “On the Astana International Financial Centre” (AIFC). The aim of the AIFC is to form a leading international centre of financial services. For the first time in the post-Soviet region, Common law framework will be introduced in the AIFC. English shall be the official language of the AIFC.

The objectives of the AIFC are to attract investment into the economy through the establishment of an attractive environment for investment in the financial services, develop local capital markets, ensuring their integration with the international capital markets, and develop markets for insurance and banking services and for Islamic financing in the Republic of Kazakhstan.

The Biodiversity Finance Initiative (BIOFIN) develops and pilots a new approach and methodology for leveraging increased biodiversity investments. BIOFIN is a global partnership addressing the biodiversity finance challenge in a comprehensive manner. The Initiative provides an innovative methodology enabling countries to measure their current biodiversity expenditures, assess their financial needs in the medium term and identify the most suitable finance solutions to bridge their national biodiversity finance gaps. 

Activities in Kazakhstan started in 2013 when the national Steering Committee was established. The working group of the BIOFIN is chaired by the Vice Minister of Agriculture of Kazakhstan. BIOFIN experts supported the formation and finalization of the NBSAP Action Plan. The Action Plan is a multi-sectoral plan and was agreed upon with relevant authorities and scientific and research companies.