Climate Financing Showdown at COP29

Developed countries have proposed a USD 300 billion annual offer by 2035 to aid developing nations in climate challenges, however, the figure falls short of the USD 1.3 trillion demanded by the Global South. The proposal introduces the Baku to Belem Roadmap for aligning financial systems to climate goals.

At COP29, developed nations put forward a final proposal of USD 300 billion annually by 2035 to assist developing countries in combating climate change. This came after representatives from the world's most climate-vulnerable regions exited negotiations, dissatisfied with the lack of substantial financial commitments.

While this figure marks an increase from the 2009 pledge of USD 100 billion, it remains significantly below the USD 1.3 trillion developing nations insist is necessary to tackle their climate challenges. Known as the New Collective Quantified Goal (NCQG), the draft agreement encourages contributions from diverse sources but does not assign primary responsibility to developed nations.

The Baku to Belem Roadmap outlines a process for aligning global financial systems with the USD 1.3 trillion target by 2035. Although referenced, the agreement lacks specific allocations for least developed countries and small island states, causing discontent among these vulnerable groups.

(With inputs from agencies.)