Archived press release

Soros climate fund inadequate - money must be grants not loans

10 December 2009

Commenting on George Soros' International Monetary Fund (IMF) climate fund proposal, unveiled at the UN climate talks today (10 December 2009), Tom Picken, International Climate Campaigner at Friends of the Earth, said:

"More money for developing countries is vital, but this proposal offers loans, not grants.

"Developing countries are already up to their necks in debt - and this plan threatens to pull them under.

"Rich countries have an obligation to provide new money to developing countries so that they can grow cleanly and adapt to the effects of climate change already causing suffering to millions, so the idea of loaning this money rather than giving it is abhorrent.

"This scheme could only be worth exploring if it were on the basis of grants instead of loans, if it was governed by the UN, and not the IMF - which is controlled by rich countries - and if it did not rely on the gamble of carbon markets, which will lead to a double whammy of financial and environmental disaster."

Friends of the Earth is demanding that the Government changes its approach to climate change with its Demand Climate Change campaign. The green campaign group is asking everyone to sign its international petition to world leaders for a strong and fair climate deal at www.demandclimatechange.org.
Notes to Editors:

1. At the Copenhagen talks, Friends of the Earth is calling for:
• Rich countries to fulfil their legal and moral responsibility to cut emissions first and fast - and pledge to cut emissions by at least 40 per cent by 2020 at home without offsetting
• The leaders of rich countries to abandon their promotion of carbon trading - an irresponsible and dangerous gamble which will do nothing to protect us from catastrophic climate change;
• Proposals to be scrapped which would allow rich countries to buy chunks of forest whilst continuing to pump out emissions: an approach which won't solve climate change or halt deforestation.

2. Helen Baxendale is supporting Friends of the Earth's Demand Climate Change campaign and is available for interview, in London from 7-10 December, and in Copenhagen 12-13 December. She can be contacted through the Friends of the Earth press office - please call Jenny Collins on 020 7566 4093.

3. Friends of the Earth International is also one of the key organisers of the alternative people's summit known as the Klimaforum with allied organisations such as La Via Campesina and the World March of Women. Thousands of voices demanding climate justice will also be presented in a 'climate capsule'
exhibition at the Klimaforum and Bella Centre.

4. Friends of the Earth is part of Stop Climate Chaos Coalition, the UK's largest group of people dedicated to action on climate change and limiting its impact on the world's poorest communities. The coalition's supporter base of more than 11 million people spans over 100 organisations, from environment and development charities to unions, faith, community and women's groups. Together we demand practical action by the UK to keep temperatures well below an average 2 degree rise. For further information visit www.stopclimatechaos.org.

5. Friends of the Earth believes that the environment is for everyone. We want a healthy planet and a good quality of life for all those who live on it. We inspire people to act together for a thriving environment. Over 90 per cent of our income comes from individuals so we rely on donations to continue our vital work. For further information visit www.foe.co.uk.

If you're a journalist looking for press information please contact the Friends of the Earth media team on 020 7566 1649.

Published by Friends of the Earth Trust