To assist developing countries to adjust to climate change, developed countries provided $32.4 billion cumulatively to developing countries in 2022, which despite appearing to be a significant amount, is only a small fraction of the $215–387 billion they need every year to shield themselves from climate change. The figures came to light thanks to a report by a clutch of developed nations that was submitted to UNFCCC (UN Framework Convention on Climate Change).
However, the report indicated, despite the inadequacies of the figure, the amount $32.4 billion exceeded the amount given in 2021 by almost 23% and that handed out in 2019 by 54%. That the amount of $32.4 billion is thoroughly inadequate compared to the needs of the developing countries was revealed after comparing the figure with a UN report of November 2023 that put forth the $215–387 billion annual requirement figure.
How the climate adaptation funding took place
The report released on UNFCCC website on November 4 gave a breakdown of the 2022 figures as well — $11.6 billion as grants, $17.2 billion as loans, and $100 million as equity. It also mentioned that if these figures were compared to those in 2019, loans went up by 48% and grants rose by 63%. The developed countries, or rich nations were goaded in 2021 at the Glasgow UN climate conference to raise their funding for climate adaptation to the developing countries by 100% by the year 2025. The amounts to be doubled was to be done using the 2019 figures as the reference point. The pressure on the rich nations was kept up in the Dubai UN climate summit that took place in December last year when the rich nations were urged to file a status report on the progress in this regard.
Who got how much
Significantly, countries in Asia and Africa benefitted as most of the funds went there. While Asian countries got 37%, African countries got 39% of the total. Countries in Latin America and the Caribbean got 13% of the funds and 2% went to countries in Europe and the Oceania each. Seven per cent went to multiple countries or regions. The report said increased adaptation finance focused on the nation which are the most vulnerable to climate change as well as small island countries and the least developed countries.
Though the developed countries provided as much as $32.4 billion to the developing world to adapt to climate change, it is thoroughly inadequate compared to the amount required, UN reports indicate. Biz News Business News – Personal Finance News, Share Market News, BSE/NSE News, Stock Exchange News Today
