The Ministry of Environment, Forestry and Tourism (MEFT) has confirmed its support for the Development Bank of Namibia’s (DBN) bid to gain accreditation from the Green Climate Fund (GCF).
Speaking on the side-lines of COP29 in Baku, Azerbaijan, Minister Pohamba Shifeta highlighted the importance of Namibia having multiple accredited entities to access international funding for climate initiatives.
“We have our environmental green fund, the only accredited fund in the country, so we are working on assisting and supporting the Development Bank of Namibia to get accredited. More institutions accredited enable us to get more grants into Namibia,” Shifeta explained.
Shifeta reiterated the need for grants rather than loans, emphasising the principle of “polluter pays” enshrined in international climate agreements.
“It is not of our making that the developed world caused 99.9% of global warming. They must lead by taking responsibility,” he said.
Meanwhile, during Namibia’s national statement at COP29, Shifeta expressed disappointment at the lack of tangible commitments from developed nations.
“We came here with renewed hope that COP29 will deliver on climate finance, but what we’ve witnessed this past week is contrary to our expectations,” he said, calling for honesty in fulfilling obligations under the UNFCCC and Paris Agreement.
He emphasised the urgency of meeting financial commitments, including the US$100 billion annual climate finance goal, and warned against the risks of inaction.
“Without adequate and predictable financial resources, no meaningful climate action can take place. We are not here to negotiate loans but to ask for fair and just compensation for the damage caused by environmental crimes,” Shifeta said.
Meanwhile, DBN CEO John Steytler recently provided an update on the bank’s sustainable finance efforts, noting that the journey towards aligning operations with green financing frameworks began years ago.
Steytler highlighted DBN’s success in unlocking Namibia’s renewable energy sector through consistent funding partnerships, such as with the German Development Bank.
“In 2018, when the first solar power plants emerged, there were very few private sector players willing to invest. We unlocked the sector by tapping into consistent funding,” he noted.
As DBN moves towards GCF accreditation, Steytler acknowledged the challenges of aligning with evolving global standards.
“We must understand what green means. Often, what we think is green may not meet the clear directives for a green product,” he explained, adding that proper alignment ensures access to affordable financing for impactful projects.
The GCF accreditation process involves meeting rigorous standards and priority sector requirements, a challenge Steytler views as crucial for Namibia’s development.
“It’s about accountability and ensuring that resources are directed to impactful projects, such as schools and hospitals, where deficits exist,” he said.
