We will continue developing instruments to adjust to the needs related to the handling of climate change.
Jakarta (ANTARA) - The Indonesian government has issued domestic retail green sukuk (Islamic bonds) with a total value of Rp21.8 trillion (around US$1.4 billion) since 2019 to help address the impact of climate change.

Finance Minister Sri Mulyani Indrawati said on Monday that the government has also issued global green sukuk issued from 2018 to 2022 worth US$5 billion.

"We have been devising fiscal and financial instruments for handling climate change issues, including in the form of green bonds that we combine with sukuk, an instrument that is consistent with Islamic law," she said in Jakarta.

Speaking at a World Bank event entitled "Climate Change and Indonesia's Future: An Intergenerational Dialogue," Indrawati revealed that the issuance of the green sukuk has helped Indonesia cut carbon emissions by more than 10.5 million tons.

She also spoke about the government launching SDG Indonesia One as an integrated financing cooperation platform to support the development of infrastructure with a focus on the realization of sustainable development goals (SDGs).

As of October 2019, the financing commitment received through the SDG Indonesia One platform reached a total value of Rp42.8 trillion (approximately US$3.05 billion), she said.

Indrawati said that Indonesia succeeded in obtaining over US$486 million from the Green Climate Fund (GCF), the world's largest fund dedicated to helping developing countries cut greenhouse gas emissions and bolster their capability to respond to the impacts of climate change.

She also affirmed that the government will continue to devise other instruments for tackling the adverse effects of climate change.

"We will continue developing instruments to adjust to the needs related to the handling of climate change," she stated.

Indrawati added that all the efforts made by the government serve as proof of Indonesia's steadfast commitment to taking concrete actions against climate change, both unilaterally and collaboratively.

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Translator: Martha H, Tegar Nurfitra
Editor: Anton Santoso
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