Australia must now shift its focus to practical delivery after Türkiye was confirmed as the host of COP31.

Australia will play a role as COP President for Negotiations at the UNFCCC Conference of the Parties in 2026, but the real work now sits beyond the formal negotiating agenda.

ASFI is calling for aligned Government-industry action to avoid costly delays, as any slowdown in coordinated action between Government and industry risks compounding transition costs.

Recent analysis from the Network of Central Banks and Supervisors for Greening the Financial System (NGFS) indicates just a three-year delay could potentially double transition costs [2].

Australia’s role as President for Negotiations is a poor consolation prize, with Türkiye expected to hold much of the procedural influence over COP31.

“Hosting COP31 would have sent a powerful signal to global investors, but Australia’s interests haven’t changed,” says ASFI’s CEO Kristy Graham.

“Decarbonisation requires joint action and shared effort, which means Government and finance need to work together and get on with delivery.”

Read more in ASFI’s Media Release.

About our COP31 work

Private sector finance and investment has a critical role to play in accelerating global climate action, and should be a core focus of Australia’s COP31 strategy.

ASFI’s COP31 Work Program will support the Government to deliver ambitious climate finance outcomes at COP31 and is working collaboratively with the finance sector on three key pillars:

Engage: Supporting effective engagement between Australian financial institutions and Government in relation to COP31 planning and the UNFCCC process.
Advocate: Developing, testing and promoting a set of well-researched proposals for COP31 initiatives on private finance, including domestic policy settings, and regional/global initiatives.
Execute: Leading initiatives to unlock private sector finance and investment into net zero aligned activities for COP31, in collaboration with government, financial institutions and other partners.

Leveraging ASFI’s expertise in climate finance policy and programming, sustainable finance, UNFCCC negotiations and international development, and with the generous support of our Steering Committee, this program will work across public and private sectors to drive and enable impactful climate finance outcomes for COP31.

COP31 Trade, Finance and Investment Agenda

ASFI’s COP31 SteerCo has outlined a Menu of High Impact Initiatives under the banner of trade, finance and investment; five of which are designed to break down barriers to decarbonisation, and one focused on adaptation and resilience.

Each initiative advances Australia’s interests in accelerating regional decarbonisation, driving demand for future green exports, and aligning with Pacific priorities on climate action.

They build on areas where Australia has recognised expertise, and many will require close cooperation between government agencies, alongside effective public-private collaboration.

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