Finding the Finance - Tax Justice and the Climate Crisis

11.06.24

Finding the Finance – Tax Justice and the Climate Crisis

Fair taxes could raise over US$2 trillion yearly for climate-vulnerable communities, says new ActionAid report

Implementing fair taxes could help the world raise more than US$2 trillion yearly to help frontline communities cope with climate chaos and transition to greener pathways, shows a new ActionAid report.

The report comes as climate negotiators work to set a new climate finance goal, to be agreed at COP29.

As communities grapple with heatwaves and repeated floods, ActionAid’s report reveals that tax justice will be central to finding the funds urgently needed for climate action. It finds a range of tax mechanisms are available to wealthy countries – which, if implemented, could raise over US$2 trillion per year towards the international climate finance goal.

The groundbreaking UN General Assembly decision last year to set up a new UN Framework Convention on Tax could be transformative in fixing unfair global tax rules and enabling low income countries to raise funds. By implementing tax systems that target their wealthiest individuals and companies, these countries could also raise over US$ 300 billion per year for domestic priorities, including climate action.

 

Read and download the full report

Finding the Finance – Tax Justice and the Climate Crisis Report

 

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