Climate Finance Controversy: Rich Nations’ Proposal Sparks Backlash

Rich countries proposed a climate finance increase to USD 250 billion per year by 2035, far below the requested USD 1.3 trillion. The proposal is criticized for inadequacy and shifting responsibility to developing nations. Developing countries demand significant support to meet their urgent climate challenges.

The recent United Nations climate conference witnessed heated discussions as wealthy nations proposed boosting climate finance for developing countries from USD 100 billion to USD 250 billion annually by 2035. This figure is significantly lower than the trillions experts deem necessary to combat the growing climate crisis.

Friday afternoon heralded the release of a new draft text on climate finance which, for the first time, suggested concrete numbers from developed countries after intense two-week discussions. However, the USD 1.3 trillion annually demanded by developing nations would be sourced from both public and private sectors, diluting the onus on affluent nations alone.

While over 190 countries continue negotiations, climate experts criticize the proposal as a poor deal for the developing world. Critics argue that the USD 250 billion offer is essentially equivalent to earlier commitments once inflation is considered, lacking the low-cost, grant-style finance necessary to truly aid these nations.

(With inputs from agencies.)