A $300 Billion Climate Deal: Global Summit's New Financial Target

The COP29 climate conference proposes that developed nations contribute $300 billion annually by 2035 to assist poorer countries with climate change impacts. This new target replaces the previous $100 billion goal. The conference in Baku highlighted financial responsibilities and divisions between wealthy and developing nations.

In a significant shift during the COP29 climate conference, developed nations are now expected to contribute $300 billion annually by 2035 to aid poorer countries impacted by climate change. This new target, revealed in a draft deal, seeks to address previous shortcomings and meet the escalating demands of climate action.

The conference, held in Baku, Azerbaijan, extended beyond its scheduled conclusion as nearly 200 countries debated the financial obligations of historically industrialized nations against the pressing climate-induced challenges faced by developing nations. Notably, delegates from smaller nations expressed frustration, highlighting their exclusion and concerns over potential dilutions of the agreement by fossil fuel-exporting countries.

The proposal replaces the $100 billion annual pledge initially set for 2020, which was met in 2022. As discussions continued, countries also established rules for a global carbon credit market, potentially mobilizing billions in new projects. The ongoing negotiations examine contributions by both traditional and emerging economies, with geopolitical factors, notably the recent U.S. presidential election, influencing dialogues.

(With inputs from agencies.)