Crunch Time: Global Climate Finance Talks Reach High-Stakes Phase

Negotiations for a new climate finance package are intensifying as a draft text shrinks to 10 pages. The developed world remains elusive on the commitment amount, frustrating developing nations who demand USD 1.3 trillion annually starting 2025. Key points of contention include financial targets and the role of public vs. private financing.

In the waning hours of negotiations, efforts to finalize a new climate finance package for the developing world have reached a critical stage. A recently released draft text has been condensed to 10 pages, but substantial hurdles remain, particularly the unresolved issue of annual climate finance commitments from developed nations starting in 2025.

Developing countries have expressed increasing dissatisfaction, insisting on at least USD 1.3 trillion annually, well above the currently pledged amounts. Critics argue that the revised document fails to set decisive financial targets for mitigation, adaptation, and addressing climate impact losses, leaving the burden on developing countries to secure domestic funds.

The text outlines conflicting objectives, with developing nations calling for significant public funding from developed countries, while developed nations consider a mixed financial model involving public, private, domestic, and global contributions. The urgency to reach consensus is palpable with mere hours left before the conclusion of the UN climate conference.

(With inputs from agencies.)