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Johanna Tiedemann, Veronica Piatkov, Dinar Prihardini, Juan Carlos Benitez, and Ms. Aleksandra Zdzienicka

Nations Children’s Fund UNSTAT United Nations Statistics Division US$ United States Dollar VNR Voluntary National Review WASH Water Sanitation and Hygiene WDI World Development Indicators WEO World Economic Outlook WHO World Health Organization Table of Contents I. INTRODUCTION II. SDS GROWTH-CLIMATE NEXUS AND PROGRESS TOWARD SUSTAINABLE DEVELOEMENT III. COSTING SDGS IN CLIMATE VULNERABILE SDS: APPROACH A. Physical Infrastructure (Roads, Energy/Electricity and WASH

Johanna Tiedemann, Veronica Piatkov, Dinar Prihardini, Juan Carlos Benitez, Ms. Aleksandra Zdzienicka, and Mr. James Daniel

production rather than pursuing vital mitigation efforts. The rest of the paper is organized as follows. Section II discusses SDS development, climate-related challenges and progress in meeting SDG goals. Sections III presents the methodology and data used to estimate costs to meet selected sustainable development and climate resilience goals. Section IV discusses the results. Section V examines financing options, such as domestic revenue potential and external climate funds. And finally, Section VI concludes. II. SDS Growth-Climate Nexus and Progress

Johanna Tiedemann, Veronica Piatkov, Dinar Prihardini, Juan Carlos Benitez, and Ms. Aleksandra Zdzienicka
Small Developing States (SDS) face substantial challenges in achieving sustainable development. Many of these challenges relate to the small size and limited diversification of their economies. SDS are also among the most vulnerable countries to the impact of climate change and natural disasters. Meeting SDS sustainable development goals goes hand-in-hand with building their climate resilience. But the additional costs to meet development and resilience objectives are substantial and difficult to finance. This work adapts the IMF SDG Costing methodology to capture the unique characteristics and challenges of climate-vulnerable SDS. It also zooms into financing options, estimating domestic tax potential and discussing the possibility of accessing ‘climate funds.’
Johanna Tiedemann, Veronica Piatkov, Dinar Prihardini, Juan Carlos Benitez, and Ms. Aleksandra Zdzienicka