With just days left until the United Nations Climate Change Conference (COP29) begins in Azerbaijan, negotiators have yet to clearly outline a deal for a new climate finance goal. Previous targets, set during COP15 and COP21, aimed to mobilise $100 billion for climate financing.
India has emphasised that developed nations need to provide at least $1 trillion annually for climate finance, as stated in the G20 New Delhi Declaration.
Developing nations are hopeful that COP29 in Baku will advance discussions on the new finance goal, which is crucial to help them meet climate mitigation and adaptation targets. India has already submitted its request for $1 trillion annually to the United Nations Framework Convention on Climate Change (UNFCCC), highlighting the urgency of this financial support.
Developing countries, including India, are increasingly vulnerable to climate change, facing disasters like landslides and floods. The Organisation for Economic Co-operation and Development (OECD) reported that developed countries provided $150 billion in climate financing in 2022, surpassing the previous $100 billion target but still falling short in fostering trust between developed and developing nations.
The new financing goal will support developing countries’ energy transitions and clarify funding for their next national climate plans, due by February 2025. At COP29, negotiators will consider a multi-layered approach to climate financing, starting with a core public fund of at least $100 billion, while also tapping into resources from Multilateral Development Banks (MDBs) and private investors.
Developing countries, including Small Island Developing States, are facing severe climate impacts, such as devastating hurricanes. They are expected to submit updated Nationally Determined Contributions by 2025 to help limit global temperature rise to 1.5 degrees Celsius.
At COP28, countries agreed to phase out fossil fuels, making climate financing even more critical for transitioning to renewable energy. India is taking the lead, with many states and stakeholders actively participating in COP29. Assam, in particular, has joined the global Race to Resilience initiative, working to strengthen vulnerable communities through the Chief Minister’s Climate Resilient Village Fellowship (CMCRVF). Assam’s climate actions will be showcased on the COP website ahead of the conference.
