The National Assembly unanimously ratified the agreement between the government and the Green Climate Fund (GCF) agreement on the privileges and immunities of the GCF yesterday.
All the 46 members present voted for ratification which is expected to enhance the effectiveness of the fund’s performance and functions in the country.
Member in-charge of the conventions, Lyonpo Namgay Tshering, moved the motion.
Clarifying the doubts raised by members on Monday’s deliberation on article 7 section 2 (a) (b) of the agreement, the chairperson of the Environment and Climate Change Committee, Gyem Dorji, said that the committee consulted the Royal Monetary Authority (RMA) and the clause would have no issues in the future.
The article states: “The fund, without being restricted by financial controls, regulations, or moratoria of any kind may hold funds, gold or currency of any kind and operate accounts in any currency, and shall be free to transfer its funds, gold or currency from one country to another or within any country, and convert any convertible currency held by it into any other convertible currency.”
The chairperson said that RMA had proper channels and protocols in place in case gold should be brought in or taken out of the country in the form of currency.
Lyonpo Namgay Tshering said that with the ratification of agreement with GCF the country could reap the full benefit without losing funds as administrative fees or to other organisations like the UN systems.
Currently, the fund is brought in through international organisations and other agencies.
The fund has two ongoing projects and four readiness activities in the country.
GCF is the world’s largest dedicated fund helping developing countries reduce their greenhouse emissions and enhance their ability to respond to climate change. It was set up by the United Nations Framework Convention on Climate Change in 2010.
The agreement has been forwarded to the National Council for deliberation.