Supreme Court Justice Mansoor Ali Shah emphasised the importance of adopting innovative financing mechanisms, such as green sukuk, to combat climate change during his address at the 4th Al-Baraka Forum Regional Conference in Karachi.
Highlighting examples from other countries, Justice Shah noted Indonesia's financing for renewable energy, transportation, and waste management projects. He explained that Indonesia has utilised green sukuk at both domestic and global levels, demonstrating a viable model for sustainable financing.
Justice Shah also mentioned that countries like the UAE, Saudi Arabia, Malaysia, and Bangladesh have taken significant steps to tackle climate change through clean energy initiatives and alternative financing mechanisms. He urged Pakistan to follow suit by creating its own green sukuk bonds to secure the funding necessary for combating climate change.
"Pakistan is currently facing the dire challenge of climate change, and clean finance is essential to address this crisis. We can also access financing from the Global Fund, but efforts in this regard have not yet yielded success," Justice Shah remarked.
Justice Shah underscored the urgency of taking timely steps to deal with climate change, adding that alternative energy sources must be considered to reduce dependency on traditional energy methods. He called green sukuk a "very good model" of Islamic financing and stressed that Pakistan issue these bonds to attract investments for clean and sustainable development.
