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Denmark to increase its green development cooperation to an all-time high

5 September 2023

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In the Finance Act for 2024, Denmark is set to elevate its commitment to green development aid from 30% to 35%. Simultaneously, the total amount allocated to development is at a record high. As a result, Denmark may provide an increase of approximately EUR 268m (DKK 2bn) to green aid in 2024. This allocation encompasses climate efforts within biodiversity, water, and the green transition of food systems.

“Intense effects of climate change are no longer something we can talk about as a possible future scenario. They are here now. In many of the world’s developing countries, they hit in a way that accelerates and worsens the development problems the countries already struggle with. Drought and floods may destroy crops and create poverty and hunger. Extreme weather can drive people to flee. The need for help is massive. That is why we are now significantly increasing our green aid,” says Dan Jørgensen, the Danish Minister for Development Cooperation and Global Climate Policy.

Denmark’s commitment underscores its position as one of the world’s few nations that adhere to the UN’s objectives by allocating 0.7% of Gross National Income (GNI) to development aid. Additionally, the climate aid is expected to make up at least 30% of which 60% will continue to be targeted climate adaptation. This majority percentage will assist in bolstering the resilience of developing countries to the challenges posed by climate change.

Read more: The Danish Government will increase green aid with 2 billion DKK (Danish article)

Preserve and protect

Since Brazil began monitoring deforestation in the Amazon in 1988, approximately 20% of the original area, more than 800,000 square kilometers, has been deforested which is an area the size of Türkiye. Here, an example of Denmark’s aid manifests through the Danish Government’s proposed EUR 20m (DKK 150m) contribution to the Amazon Fund in the forthcoming Finance Act, thereby supporting the Brazilian Government’s efforts to stop deforestation of the Amazon before 2030.

“Stopping deforestation is a good example that climate policy, environmental policy, and development policy are closely intertwined. These investments in the Amazon will be an important part of Denmark’s increasingly coordinated approach to these areas of policy,” says Dan Jørgensen, the Danish Minister for Development Cooperation and Global Climate Policy.

Projects and initiatives financed through the Amazon Fund help to reduce deforestation, protect biodiversity, improve the living conditions of the local population, and promote sustainable development in Brazil. Support for the Brazilian rainforest is a part of global efforts to preserve forests, which is among the Danish Government’s priorities for cooperation development in the forthcoming Finance Act.

As part of an overall forest and nature initiative with more than EUR 134m (DKK 1bn) in funding from 2024-2027, EUR 47m (DKK 350m) will  be allocated to strengthen efforts in support of forests and biodiversity in 2024.

Read more: Denmark supports preservation and protection of the Amazon