Marshall Islands will chair the first Pacific led, owned and managed financial institution – the Pacific Resilience Facility (PRF) – dedicated to providing funding to build community resilience against climate-related adversities.
This was confirmed by the Office of the President of the Marshall Islands.
The PRF will provide grants for climate adaptation, disaster preparedness and projects that respond to loss and damage from the impacts of the climate crisis.
The inaugural PRF Council meeting took place this week, as the Marshall Islands hosted the Forum Economic Minister Meeting in Majuro. Marshall Islands Finance Minister David Paul is the current PRF Council chair and will be steering its operational phase.
On 30 August 2024, the 53rd Pacific Islands Forum leader’s meeting, held in Tonga, announced the PRF would have its headquarters in Nuku’alofa, the capital of Tonga.
In their final communiqué, leaders warmly welcomed the commitment by the UN Secretary-General António Guterres to Forum Leaders to support the capitalisation of the PRF, which has an initial financing target of $US500 million by 1 January 2026, and a longer term goal of $US1.5 billion.
Australia, Saudi Arabia, the People’s Republic of China and the United States have contributed to this fund, and the communiqué states Pacific leaders are urging other dialogue partners to pledge their contributions so the fund can meet its targets.
Australia has contributed AU$100m (US$67m) and is the main donor so far to the facility, which has raised US$137m. Saudi Arabia, the US, China, and Japan have also committed funds.
The New Zealand government previously pledged to contribute NZ$20m to the facility.
