Rio de Janeiro [Brazil], July 6 (ANI): BRICS member nations have called on advanced economies and the international financial system to provide “substantial” finance for climate mitigation in developing economies.
“…We call on advanced economies and other relevant actors in the international financial system as well as the private sector to provide substantial finance for climate actions in developing countries, including by expanding concessional finance and increasing private capital mobilization,” Finance Ministers and Central Bank Governors of the BRICS countries said in a joint statement Sunday, just ahead of the Summit.
Given the significant adaptation needs of EMDEs (Emerging Market and Developing Economies), the BRICS leaders urged international financial institutions to scale up support for adaptation and to help create an enabling environment that encourages greater private sector participation in mitigation efforts.
BRICS members acknowledged the need to address structural challenges stemming from climate change, energy transitions, biodiversity, and nature conservation, among others.
“We reaffirm that predictable, equitable, accessible, and affordable climate finance is indispensable for just transitions, in line with country circumstances and development priorities, and for meeting the goals of the UNFCCC and its Paris Agreement,” the joint statement read.
India, a BRICS member, has consistently emphasized the need for climate finance arrangements, particularly from developed countries that are historically high carbon emitters. India reiterated the importance of adequate finance, especially for the Global South.
Climate finance typically refers to any funding that supports mitigation and adaptation efforts to address climate change. Developing countries have long argued that developed nations, bearing a greater historical responsibility for emissions, should take the lead in both mitigation and climate finance.
Further in the joint statement, addressing the present context of economic uncertainty and volatility, the BRICS member nations stressed that the International Monetary Fund (IMF) must remain well-resourced and flexible. They emphasized its role at the center of the global financial safety net (GFSN), particularly in supporting the most vulnerable countries.
BRICS members also welcomed the New Development Bank’s growing capacity to mobilize resources, promote innovation, expand local currency financing, diversify funding sources, and support impactful projects. These initiatives aim to advance sustainable development, reduce inequality, and promote infrastructure investment and economic integration.
“As the New Development Bank is set to embark on its second golden decade of high-quality development, we recognise and support its growing role as a robust and strategic agent of development and modernisation in the Global South,” the statement continued.
In conclusion, BRICS members affirmed their commitment to continuing collaborative efforts throughout the second half of 2025. They aim to further advance key initiatives and strengthen coordination in preparation for a smooth transition and sustained momentum under the Indian Presidency in 2026.
The Finance Ministers and Central Bank Governors of the BRICS countries convened in Rio de Janeiro, Brazil, on July 5, 2025, under the theme: “Strengthening Global South Cooperation for More Inclusive and Sustainable Governance.”
BRICS nations collectively encompass almost half of the world’s population and span four continents. Their economies represent nearly 40 percent of the global Gross Domestic Product (GDP).
BRICS economies have become increasingly integrated into the global economy, accounting for about a quarter of global trade and investment flows.
The joint statement emphasized the need to ensure that the benefits of globalization, economic growth, and productivity are shared more equitably.
According to a report by Rubix Data Sciences, total international trade (exports plus imports) by BRICS nations stood at USD 10.5 trillion in 2024, growing at a 7.9 percent CAGR between 2020 and 2024.
BRICS nations are net exporters, collectively exporting more goods than they import, highlighting their strong production capacities and expanding influence in global trade.
(ANI)
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