The United Nations’ top corporate sustainability chief has warned business leaders they can no longer ignore the growing “North-South divide” over climate change.

“ “Climate has become a political issue,” he said, describing the divide between rich and poor countries as “the biggest divide.”

At the World Economic Forum in Davos, Switzerland, the United Nations chief warned that divisions between the global North and South had created “tensions” during a CNBC panel discussing the challenges and opportunities facing businesses in pursuing net-zero climate targets. at the global level” among businesses and policymakers.

“No matter where you are in the world, you can’t ignore it,” she said.

Climate talks at the COP29 summit in Baku, Azerbaijan, in November ended in acrimony, with developing countries indifferent to financial commitments from developed countries.

global south leaders and activists $300 billion financing deal angers climate summitThis is a minuscule commitment compared with the $1.3 trillion needed for climate adaptation.

At one point, representatives from poor and small island nations expressed frustration at a lack of inclusivity and feared fossil fuel-producing countries were trying to water down certain aspects of the deal.

Ojambo warned of the consequences of divisions and tensions over climate finance.

“It inhibits the full flow of capital, inhibits technology exchange and undermines trust,” she said, warning business leaders that they “cannot ignore politics” but must “work within it.”

The UN chief added that strengthening public-private partnerships using “affordable capital” for businesses in the “global south” was crucial to healing a “broken world”.

Ojigbo said the “anxiety and worry” in countries in the southern hemisphere was due to their having “the lowest emissions” and being “the most affected by climate action”.

Climate scientists warn Rising sea levels, frequent hurricanes and food insecurity pose existential threats to Caribbean and Pacific small island developing States.

A rise in global average temperatures of 1.5 degrees Celsius will exacerbate floods and extreme droughts already experienced in Africa, which is home to 32 of the world’s 48 least developed countries.

Ojigbo added that scientific warnings and disagreements were leading the world to a “tipping point.”

one Report published by the United Nations. In 2023, it was found that G20 countries accounted for 76% of global emissions.

“If we can attract a lot of big business to help us achieve these goals, that’s one thing. Then we can take care of the rest,” she told the Davos panel.

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