{"id":36146,"date":"2025-06-13T17:14:19","date_gmt":"2025-06-13T15:14:19","guid":{"rendered":"https:\/\/www.co2news.sk\/?p=36146"},"modified":"2025-06-13T17:14:44","modified_gmt":"2025-06-13T15:14:44","slug":"plan-cop30-inaction-or-ambition-in-climate-change-financing","status":"publish","type":"post","link":"https:\/\/www.co2news.sk\/en\/2025\/06\/13\/plan-cop30-inaction-or-ambition-in-climate-change-financing\/","title":{"rendered":"COP30 plan: inaction or ambition on climate finance?"},"content":{"rendered":"<p>The global community is facing a critical debate about the future of climate finance, with the initiative known as the <strong>&quot;A Roadmap from Baku to Bel\u00e9m to $1.3 Trillion&quot;<\/strong>This road map, which<!--more--> will be discussed in Bonn and is due to be presented at the COP30 conference in Brazil this November, aims to propose approaches to increase climate finance flows to developing countries to more than a trillion dollars per year by 2035. But its creation and mandate indicate the potential risks, but also the promise it holds.<\/p>\n<p>Originally, 15 years ago, a target of USD 100 billion per year was set for mobilizing climate finance for developing countries from developed countries. However, the COP29 negotiations brought a new ambition: the G77 countries and China united behind an African call to increase this target to USD 1.3 trillion. Some G77 countries had initially called for a roadmap that would specify the steps that developed countries could take to achieve this. <strong>public financial resources<\/strong> for the global south.<\/p>\n<p>Ultimately, however, the forces from the Global North prevailed, pushing for a broader, less defined target of $1.3 trillion, which would include \u201call finance\u201d from \u201call sources.\u201d This wording is very disappointing for the Global South, because <strong>obscures the responsibility of wealthy historical polluters<\/strong> pay their fair share of public money for the problem they have caused, and threatens to shift the burden to developing countries.<\/p>\n<p><strong>Key risks and challenges of the Roadmap<\/strong><\/p>\n<p>The $1.3 trillion roadmap has the potential to be a milestone in global climate finance governance, but it also faces significant risks. It risks failing to send a strong signal about the level of public finance ambition needed from contributing countries. If it does, it could deepen inequities, increase debt burdens, and delay urgent climate action.<\/p>\n<ul>\n<li><strong>Injustice and loss and damage:<\/strong> Poorer countries, largely irresponsible for climate change, could face losses and damages of $450 billion to $900 billion per year by 2030, not including the costs of emissions reductions and adaptation. Although the COP29 decision on a new climate finance target ignored the need for a specific target for financing losses and damages, the Roadmap does not have to do so.<\/li>\n<li><strong>Heavy debt burden:<\/strong> The roadmap must not ignore that external debt is at record levels. The cost of servicing debt exceeds the capacity of two-thirds of developing countries to repay. African governments, for example, paid around 17 trillion of their income on debt service in 2023, the highest level in decades. This means that countries in the global south may lack the fiscal space to invest in necessary climate action, or may have to prioritize other areas such as health or education. While there are economic benefits to climate action, markets are not always efficient and the cost of capital is higher in countries in the global south, increasing the need for support.<\/li>\n<\/ul>\n<p><strong>Opportunities for change and a bold signal<\/strong><\/p>\n<p>In addition to highlighting the need for rich countries to increase the provision of public grant funding to poorer countries, the Roadmap can also show opportunities to build an architecture for scaling up financing. Reforming the international financial architecture is crucial, but it requires rich countries to relinquish their current hegemony and their resistance to reforms in the negotiations on the UN tax convention and a potential UN sovereign debt resolution mechanism. Other elements could include country platforms aimed at unlocking financing, particularly private investment, which, however, requires catalytic public resources. It is true that the current political situation is not conducive to increasing international grant funding. Nevertheless, countries in the Global South should do what they can, including by strengthening South-South cooperation.<\/p>\n<p>If global temperature targets are to be maintained and climate action strengthened, while reducing inequality and debt, rich countries must step up their efforts on financing. For the Roadmap to be successful, it must demonstrate a willingness to move away from the status quo, similar to what happened with the Paris Agreement and the UAE Consensus. <strong>The Baku to Bel\u00e9m roadmap must send a bold signal about what is needed<\/strong>, otherwise a key opportunity will be lost. <em><strong>Spring<\/strong><\/em><\/p>","protected":false},"excerpt":{"rendered":"<p>The global community is facing a critical debate about the future of climate finance, with the initiative known as the \u201cBaku to Bel\u00e9m Roadmap to $1.3 trillion\u201d at the center of attention. This roadmap, which<\/p>","protected":false},"author":7,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[17],"tags":[],"class_list":["post-36146","post","type-post","status-publish","format-standard","hentry","category-cop28-cop29-cop30-cop31"],"acf":[],"_links":{"self":[{"href":"https:\/\/www.co2news.sk\/en\/wp-json\/wp\/v2\/posts\/36146","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.co2news.sk\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.co2news.sk\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.co2news.sk\/en\/wp-json\/wp\/v2\/users\/7"}],"replies":[{"embeddable":true,"href":"https:\/\/www.co2news.sk\/en\/wp-json\/wp\/v2\/comments?post=36146"}],"version-history":[{"count":0,"href":"https:\/\/www.co2news.sk\/en\/wp-json\/wp\/v2\/posts\/36146\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.co2news.sk\/en\/wp-json\/wp\/v2\/media?parent=36146"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.co2news.sk\/en\/wp-json\/wp\/v2\/categories?post=36146"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.co2news.sk\/en\/wp-json\/wp\/v2\/tags?post=36146"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}