Release

Urban20: Rio and São Paulo Advocate for Global Governance Reforms to Ensure Access to International Credit

São Paulo City Hall

19

June 2024

by

Rio de Janeiro City Hall

Rio de Janeiro and São Paulo chaired the first summit of Urban20 (U20) in the 2024 cycle. The meeting of the engagement group of G20 cities – the main forum for international economic cooperation – took place in São Paulo and brought together authorities from 38 municipalities. The main outcome of the meeting is a declaration highlighting two priority areas closely aligned with the theme of Brazil's G20 Presidency this year: increasing social inclusion, by combating hunger and poverty; and reforming global governance institutions from an urban perspective.

- "It is important to always remember that the main actions to address climate change are conducted in cities, the true engines of economic growth, representing more than 80% of global GDP. We need to create mechanisms within global governance that guarantee them direct access to international financing through public, private, and multilateral sources. The G20 is a unique opportunity to show the world's top leaders the importance of global financial reform," said Rio's Mayor, Eduardo Paes, in a video shown during the official opening of the event.
- "Undeniably, climate change today affects discussions in cities worldwide, as seen with the flooding issues in Rio Grande do Sul, displacing thousands, or the Amazon region's fires and many other situations globally. They also influence another central theme we discussed over these two days of the Summit, which is combating hunger and poverty, as they impact food production, migration, and immigration," said São Paulo's Mayor, Ricardo Nunes.

The document highlights that climate impacts and exacerbated social inequalities are leading to increased hunger, poverty, losses, and damage, with more significant and negative consequences in the Global South countries, where Brazil is situated, and that only a small portion of international resources reaches local governments (only 7% to 8% of the $4.5 to $5.4 trillion needed in 2018).

During the inaugural session and official opening of U20, the Federal Government also emphasized the importance of the urban agenda, which permeates almost all major G20 themes.

- "In a country like Brazil, where over 80% of the population is urban, cities, local governments are the central territories for combating inequality, hunger, and progressing sustainable development goals transversally. It is in the cities, in urban territories – and in Brazil, inequality is particularly stark in these spaces – that this fight needs to take place," reinforced Antônio da Costa e Silva, head of the International Advisory Office of the Ministry of Cities, during the inaugural session and official opening of U20.

The next significant event within the G20 agenda this year will take place from July 3 to 5 in Rio de Janeiro. It is the first time in the forum's history that a joint session between Sherpas and civil society is held. The goal is to directly influence G20 negotiators, conveying the strength of cities' commitments and, especially, local governments' plea for more direct and rapid access to external resources to finance their sustainable urban development. The second U20 Summit will be held in November, also in Rio. For the first time, it will take place on the eve of the G20 Heads of State and Government meeting.

One of the most important debates, directly affecting cities, is within the scope of G20 countries' public policies on climate issues. Local leaders understand that policies need to be consistent with the Paris Agreement, a 2015 commitment that set the goal of limiting global warming to below 2°C, ideally no more than 1.5°C, compared to pre-industrial levels. The Rio City Hall is implementing measures to meet global sustainability agendas. Among them are the Sustainable Development and Climate Action Plan (PDS), which embraces the commitment to build a carbon-neutral city by 2050, resilient and adapted to climate change, and the revitalization of the city's Port Zone, creating a modern, integrated area that combines cultural, economic, and environmental elements to build a space of urban excellence.

- "Cities don't just talk about climate; they act. On a large scale and quickly. From the new public park the size of Paris in São Paulo to the new solar park in Rio that will provide energy to 45 schools, cities are leading the way. By working with cities, G20 countries can turn goals and words into actions that benefit people now, not in years. Quick action is essential. The world is on the brink of climate tipping points that will only intensify poverty, inequality, and conflicts. The U20 summit proposals are a beacon of hope, as cities are at the forefront of building a more sustainable and equitable world," stated Kevin Austin, Deputy Executive Director of the C40 Cities Group, a global network of mayors of the world's leading cities united in action to confront the climate crisis.

The entity, along with United Cities and Local Governments (UCLG), the world's largest organization of local and regional governments, has permanently convened U20 since its launch in 2018.

- "The message of hope given by cities like São Paulo and Rio de Janeiro needs to be accompanied by a greater capacity to provide public services that offer a solid foundation for equality and social justice that will combat hunger and poverty. The world's cities are proposing to address not only today's current challenges but also the needs and aspirations of future generations, aligned with Brazil's priorities for the G20 Summit. In return, a clear recognition of cities as a sphere of government in international institutions will be crucial," added Emilia Saiz, Secretary-General of UCLG.