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GCC GDP Could Exceed $13tn By 2050 With Green Growth Stratergy – World Bank Official | |
| Sumita Pawar |
A top World Bank official said that the combined GDP of the countries in the Gulf Cooperation Council could be more than $13 trillion by 2050 if the region uses green growth economic strategies well.
Issam Abu Suleiman, regional director of the GCC at the World Bank, noted that the combined GDP of the GCC countries will be $6 trillion if they continue to operate as usual without properly implementing a green growth strategy, according to the report.
The official said last year the combined GCC economy was valued at $2 trillion. "If they (GCC countries) continue business as usual, as they have for the last three or four decades, and grow approximately at an average of 4 percent, the combined economy of the GCC will be $6 trillion. If they go into a green growth strategy that will improve their productivity, then they will go above $13 trillion," Abu Suleiman told the news agency WAM.
Green growth strategies are meant to make sure that natural assets can reach their full economic potential in a way that is sustainable.
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Abu Suleiman says that a green growth strategy will help create more jobs, close the gap between men and women, and eventually lead to a more diverse economy.
He added, "The green growth strategy is an important one that can benefit diversification strategies). If they go into a green growth strategy, they can use more of the technology that is available there, and by doing that, they will increase their productivity."
report mentioned, Abu Suleiman further noted that the UAE is playing a pivotal role in reducing the repercussions of climate change in the Middle East and North Africa region.
He also added that the upcoming UN Climate Change Conference, also known as COP 28, in Dubai will accelerate the implementation of commitments related to climate change issues.
"The fact that the UAE is hosting COP28 shows that the country's work in the field of climate sustainability is recognised internationally," he said.
He further pointed out that the UAE has been spearheading climate initiatives for more than 30 years and added that the country is investing in projects aimed at reducing the repercussions of climate change.
According to Abu Suleiman, COP28 will provide a great opportunity to push towards green technology and carbon sequestration investments, which are crucial for the world to achieve net-zero emissions by 2050, said the report.
He added that COP28 will also provide an opportunity to move to an economic path of green growth, which could ultimately diversify the economy while making a positive impact on the climate.
Abu Suleiman said that the World Bank is the first institution to finance climate-related projects worldwide and added that it provided financing worth $31.7 billion last year.
He also predicted that the world needs at least $4 to $5 trillion a year to reach the climate goals outlined in the Paris Agreement.
The agreement is an international climate change treaty that was made in 2015. It requires countries that sign it to work to keep the rise in global temperature to 1.5 °C above pre-industrial levels.