Climate crisis has added fuel to a debt fire. Global south countries borrowing costs have soared just when they need it the most. Many face impossible choices.
This is menu of what must be done. What are political blockages to action on these fronts? eurodad.org/a_tale_of_two_…
3/ Burdened by Covid, Debt & Climate crises, Latin & Central Am are at frontlines of 21stC system-level shocks. Green investment, debt write-offs, and bigger welfare states are solutions.
4/ The position of developing countries is analogous to the position of municipalities in rich countries. Both face extremely high financing costs in bond markets even though they need to do adaptation & decarbonization the most.
5/ Climate & finance ppl must grok geopolitics. "Interwoven into Anglo-American legal and financial wealth-defense networks is a transnational security apparatus"
6/ There have been a slew of proposals to reform IMF & World Bank governance as they empower put creditor interests.
Unequal country quotas at the IMF make climate-vulnerable countries underrepresented in decisions that disproportionately impact them. bu.edu/gdp/files/2022…
7/ Are there ways to break the deadlock? Can climate finance flow without changing intl finance architecture?
8/ In bombshell report @danielmunevar finds poor countries will pay an astonishing $330B in debt service on bonds worth $691B. What governs the size of the pound of flesh that global bondholders demand for lending money to poor countries? ht @policytensor policytensor.substack.com/p/global-polar…
9/ @rishirbhandary on how intl fin architecture is being pushed
">#COP27 called on MDBs to do more on climate finance
>Yellen has called for a World Bank evolution roadmap
>G20 report on MDB capital adequacy shows they could increase lending by billions" opendemocracy.net/en/oureconomy/…
10/ It is a rich irony that states who drilled the most oil and gas - US, Saudi Arabia, UAE etc - also have the money that is being used for climate finance
Unsurprisingly, they want to keep drilling & don't want to turn into "stranded countries". Thread
11/ Climate finance is riddled with greenwashing schemes.
Saudis and Emiratis are taking Biden's CCS and Hydrogen program to the developing world. The "Build Back Better world agenda", is brought to you by the gulf petrostates #GeopoliticsOfGHGs
Nothing in life is certain except destabilizing climate, 'uneven & combined development' & taxes.
Join us in a few hours (3pm EST) with an amazing panel to discuss Climate, global political economy, & power. There will be a recording if you can't make it bit.ly/money-and-clim…
"Problem of modernization has not gone away. In fact, it has returned with unprecedented urgency with #climatecrisis. The advanced nations of the world want a global energy transition. The Third World states have more urgent priorities..." @policytensor policytensor.substack.com/p/global-polar…
Cracking Polycrisis panel on Money, Climate, Debt is now live. Tune in here:
Fun & insightful Polycrisis panel. If you missed it,don't FOMO. Recording here:
-Financing & dollars are drying up for rest of the world just when they need it the most
-get domestic politics right & countries can creatively do a lot
In hindsight, Revolutions are always inevitable, but they are never foreseen.
"I shall argue that the E European Revolution was by no means inevitable. What was inevitable is that we would be astounded if & when it arrived" moodle.swarthmore.edu/pluginfile.php…
terrible housing crisis, little to no govt fiscal support to households in corona crisis that has led to high unemployment about young and rural people. Massive discontent in China rather like the mass George Floyd protests in US of summer 2020....
German exports to china have grown 20-fold in last 20 years. Its firms have made joint ventures to sell in China's large market. But it is not "export-dependent" on China.
2/ “Rather than national economic interest, it is the special interests of select German multinationals and industries that drive a China-dependency narrative that limits strategic action from Berlin” ht @LukePatey
3/ "...Jürgen Matthes reveals how China only made up about one-tenth of Germany’s export growth between 1991 and 2018. This is a noteworthy contribution, but it hardly fits the picture of Chinese demand as the engine of Germany’s export-driven economy." iwkoeln.de/studien/juerge…
1/"the West should abandon globalization. Instead...the West should revert to trade blocs, in this case created between the nations sharing certain political values & geopolitical interests"
2/ "There are 2 reasons why the West should abandon globalization. The first is that it was not good, economically, for its middle classes...
period of high globalization between 1988 & 2008, was good for Asian middle classes and the global top 1% but not western middle classes"
3/ "Second, geopolitically, globalization helped the rise of China which is already now, but will be even more so in the future, the main military and political competitor of the United States."