Bridging the Climate Finance Gap: Beyond Promises to Action

A UN report reveals a growing gap in international public finance for climate adaptation in developing countries, highlighting the need for strategic financing and increased efforts. Despite more countries adopting adaptation policies, the challenge remains significant with projected global temperature rises and inadequate financial strategies.

According to a recent UN report, international public finance supporting developing nations to adjust to climate change rose from USD 22 billion in 2021 to USD 28 billion in 2022, but this is far from enough. The financial gap between what's needed and what's provided remains significant, putting vulnerable countries at risk.

During the UN climate summit in Dubai in December 2023, nations restated the previous call from the 2021 Glasgow Climate Pact for developed countries to double adaptation funding by 2025. However, the latest data suggests that even reaching this goal might only narrow the adaptation finance gap, estimated at USD 187-359 billion annually, by a mere 5%.

The report observes an urgent need for strategic use of funds and adaptation efforts that are anticipatory and transformational, as the world heads toward potentially catastrophic temperature increases. It stresses the importance of addressing who should finance these efforts and aligns with principles of shared responsibility and fairness in bearing the costs.

(With inputs from agencies.)