IMO aims to work on financial challenges of shipping’s transition
The International Maritime Organization announced that work continued last week at a meeting of the FIN-SMART Roundtable Workstream 1 to resolve the financial challenges of shipping's transition to a more sustainable future.
The Roundtable provides a forum for regular dialogue between key maritime stakeholders to support accelerating financial flows for the decarbonisation of the maritime sector, especially in developing countries.
At its most recent meeting, which took place on Thursday (28 January), participants in Workstream 1 reviewed the overall mapping of shipping decarbonisation needs in line with the Initial IMO GHG Strategy and also focused on investment risks, financing and other barriers that pose challenges to the realization of the required investments.
In particular, they stressed the importance of new risk-sharing financial mechanisms, gap-funding and grant-funding financial instruments, and a new, distinct approach that addresses the needs of LDCs and SIDS.
Workstream 2 will, meanwhile, focus on financial solutions. A more comprehensive study to support regional needs, port and shipping finance, with a focus on the needs of developing countries, especially LDCs and SIDS, will be carried out.
Maritime Business World