Talks during the third day of COP 27 focused on climate finance. Here's what business leaders need to know to keep up-to-date on event proceedings:

  • Global securities regulators called for greater scrutiny of carbon markets to deepen liquidity and prevent greenwashing. The International Organization of Securities Commissions (IOSCO) published papers that provided recommendations for both compliance and voluntary offset markets. It will solicit feedback and host consultations on proposed measures.
    • The chairman of IOSCO said: "No market can function without appropriate levels of integrity and, transparency and liquidity so IOSCO today hopes to lend its international, market expertise to help develop appropriate frameworks for sound and well-functioning carbon markets, focusing on promoting integrity and liquidity and increasing transparency to facilitate price discovery."
  • The World Bank announced the creation of the Global Shield Financing Facility Instrument to distribute loss and damage assistance to developing countries. Germany disclosed that it is committing roughly $170 million to the project, while other countries including Austria and Scotland have funded the project by a total of $225 million.
  • The United States and the European Union (EU) are in talks regarding the trade tensions triggered by the Inflation Reduction Act ( H.R. 5376). EU officials are displeased that the law puts its vehicle and battery manufacturers at a competitive disadvantage.
    • John Podesta said: "We are in dialogue about the particular structure...of the vehicle credits that the Europeans have raised."
  • The Egyptian Stock Exchange and its partners launched an African voluntary carbon market, the African Market for Carbon Certificates. The project will be developed over the next year.
  • Barbados Prime minister Mia Mottley called for a 10 percent tax on fossil fuel companies to fund loss and damage projects, especially climate refugee programs in developing countries.

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