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Window for Sustainable Development for Tuvalu

To help Tuvalu- Donors should invest in the Tuvalu Trust Fund

Tuvalu is a natural LDC and an archipelagic SIDS; with a narrow resource base and poor soils, isolated with high energy and transport costs, and little resilience to natural disasters. Such fundamental realities and challenges limits any production, investment interest and therefore no exports, hence our lowest-ranked GDP world-status. Diversification by any imagination is at most wishful thinking!. Tuvalu is an open economy. The fundamental realities of extreme isolation, high energy and transport costs and the vulnerabilities and business risks means that there is no influx of investors heading to Tuvalu. We call on the donors to materialize the promised fast track financing pledges as announced in Copenhagen – and consider loss and damage insurances to vulnerable countries.

Tuvalu offers its established TUVALU TRUST FUND (TTF) protocols to the donors, as an innovative financing architecture for DONOR INVESTMENTS and channeling climate change adaptation and mitigation resources to Tuvalu.

Our Tuvalu Trust Fund (sovereign fund) was set up by Australia/NZ/Tuvalu and UK (since pulled out)in 1987 with A$27million is governed by an International Agreement, with high international governance standards of accounting and auditing. At the end of 2012 the TTF market value is $127 million and has provided $65 million for Tuvalu in 20 years to 2007(prior to the Financial crisis of 2008).

Channeling resources to the TTF is a win-win concept for Tuvalu and the donors. From these Investment and reserves, Tuvalu would implement environmentally sound projects conducive to its capabilities and absorptive capacities under the close scrutiny of the UN and the excellent governance structure of the TTF International Agreement.


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