Finance ministers understand the economic impact of climate change on their countries, future risks and opportunities. Even as the costs of global warming mount each passing year and decade, climate action and the transition to clean energy can create millions of jobs and trillions in investments, globally.Finance ministers can also shepherd and steer their economies onto a low-carbon growth path using climate fiscal tools such as carbon taxes and emissions trading systems.
Recognizing this unique position of finance ministers, the Coalition of Finance Ministers for Climate Action was launched in 2019. It brings together finance ministers, economic and fiscal stakeholders from over 90 countries, guided by six aspirational goals better known as the “Helsinki Principles” – accelerating actions to implement the Paris Agreement, carbon pricing, green budgeting, greening the financial sector and support and implementation of nationally determined commitments (NDCs).