Islamabad 13 August: Pakistan will require $40 billion to $50 billion annually to combat intensifying climate challenges, warns the Overseas Investors Chamber of Commerce and Industry’s (OICCI) 3rd Pakistan Climate Conference (PCC) Report.
The findings highlight the growing financial burden of climate change, including billions in damages, rising health costs, and falling productivity.
Despite contributing less than 0.9% to global greenhouse gas emissions, Pakistan tops the 2025 Climate Risk Index, reflecting its extreme vulnerability. In 2022 alone, climate-related disasters caused over $30 billion in economic losses, while recovery needs exceeded $16.3 billion. Air pollution is linked to more than 128,000 premature deaths annually, and agricultural productivity has dropped by 10–20% due to climate variability.
The report, Creating an Enabling Environment for Private Sector Participation in Climate Resilience, urges large-scale climate finance mobilisation, positioning the private sector as a crucial partner in resilience-building.
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Ministry of Climate Change and Environmental Coordination Secretary Aisha Humera Chaudhry stressed the need to channel substantial and timely climate finance toward local solutions. She emphasised that the private sector must play a central role in scaling up adaptation and mitigation measures.
OICCI Secretary General M Abdul Aleem warned that Pakistan’s reliance on fossil fuels and carbon-intensive practices threatens exports under global frameworks such as the EU Carbon Border Adjustment Mechanism. He called for urgent decarbonisation, adoption of renewable energy, and access to green finance to maintain competitiveness.
SDPI Executive Director Dr. Abid Suleri underscored the importance of market-based solutions and private-sector-led climate action. He urged the government to provide policy support, data transparency, and financing instruments to address climate challenges as a pressing socioeconomic crisis.
The 3rd PCC Report outlines actionable strategies, including regenerative agriculture, industrial decarbonisation, plastic circularity, and carbon market development, stressing that effective climate finance must be paired with supportive policies and capacity-building to bridge Pakistan’s climate funding gap.
