The Pacific is one of the world’s most vulnerable regions to the impacts of climate change. Pacific Island Countries are already experiencing extreme climate induced disasters such as droughts and tropical cyclones which severely hinder development. Accessing predictable and adequate climate finance is challenging for small and resource constrained Pacific Island Countries. There is an urgent and pressing need for locally appropriate, self-sustaining and accessible financing options for climate resilience.
Remittances make up a critical and growing source of development finance in Pacific Island Countries – representing more than three times official development assistance, and in many cases – two to three times more than foreign direct investment. Remittance senders have a more secure and stable source of income, and hence, often have a higher credit capacity. Therefore, our financial vehicle will allow workers in Australia and New Zealand, to cheaply and easily invest in resilient infrastructures for their families and communities in their home countries.
The aim of this project is to design and assess the feasibility of a locally relevant and self-sustaining finance vehicle that enables migrant workers from Pacific Island Countries who live and work abroad (most often in Australia or New Zealand), to channel part of their remittance payments towards sustainable and climate resilient infrastructure investments for their families and communities at home.
Given the critical importance of climate change resilience and adaptation in low lying Pacific Island states – the focus will be on resilience retrofitting of homes, with the aim that households would invest in securing for roofs, water tanks, and rooftop solar panels and batteries – so that households would have shelter, water, and communications (i.e power for phones and radio) in post cyclone periods. The measures will also contribute to resilience against other impacts and improve the sustainability of houses.
This project will assess its feasibility in the context of the Pacific and for the purposes of sustainable and resilient infrastructure. By the end of the feasibility study it is expected that all relevant local partners will be engaged, the detailed vehicle design structure will be finalised, and it will be ready to be implemented.
