In a significant move to address Pakistan’s climate challenges, Federal Minister for Finance Muhammad Aurangzeb called for innovative solutions aimed at supporting vulnerable communities, particularly those who are least responsible for global emissions yet most affected by climate change.

The minister spoke at the “Acumen’s Climate Action Fund for Pakistan” event held at the Pakistan Pavilion during COP29 in Baku, Azerbaijan.

Highlighting Pakistan’s climate milestones, the Finance Minister underscored the launch of Pakistan’s first climate-focused fund dedicated to enhancing agricultural resilience. This fund, he noted, is designed to help Pakistan’s agricultural sector adapt to the evolving climate landscape and ensure food security amid growing environmental challenges.

The Finance Minister further elaborated on the fund’s vision: “The Acumen Climate Action for Pakistan (ACAP) Fund is the nation’s first climate-focused private sector fund, aiming to support businesses that build agricultural resilience and directly benefit small farmers.” With a target to impact 13.

Romina Khurshid Alam, Coordinator to the Prime Minister on Climate Change, praised the Acumen Climate Action Fund as a groundbreaking initiative for Pakistan’s agriculture sector. She explained that the fund is designed to offer patient capital to agribusinesses, especially smallholder farmers, who constitute nearly 90% of Pakistan’s agricultural workforce.

Alam pointed out the country’s pressing climate risks, with projections indicating an 8-10% decline in agricultural productivity by 2040 due to climate change. “This initiative is crucial for building climate resilience in Pakistan’s agriculture sector, promoting sustainable farming practices, and supporting food security,” she stated.