At the COP29 climate summit in Baku, Azerbaijan, a proposal by wealthy nations to allocate $250 billion annually to climate financing for developing countries by 2035 has sparked widespread outrage and rejection. Vulnerable nations, already bearing the brunt of climate change, had hoped for a much larger commitment—$1.3 trillion annually to cover the costs of climate adaptation and damage repairs.
The draft proposal, presented by the presidency of the climate talks, was pitched as the result of extensive consultations. However, it has been met with strong condemnation from leaders of developing nations who feel that rich countries are still shirking their responsibility for the global climate crisis they have largely caused.
Panama’s representative at the talks, Juan Carlos Monterrey Gomez, called the $250 billion offer “outrageous,” describing it as a “slap in the face” to nations already grappling with the impacts of climate change. His words echoed the sentiments of many other envoys, particularly from island nations vulnerable to rising sea levels.
The financial pledge, while slightly increasing the $100 billion per year that wealthy nations have been promising since 2009, falls drastically short of the amount developing nations believe is necessary. The funds would be used to help these countries cope with the devastating effects of climate change and to adapt to worsening environmental conditions. The offer’s modest increase, though, is seen as inadequate given the escalating threats, with some experts noting that climate-related disasters, such as floods, droughts, and storms, are intensifying around the world.
Adding to the disappointment, there are concerns about how the funds will be raised. The deal suggests that both governments and the private sector would contribute, but critics fear that much of the financing could come in the form of loans rather than grants, burdening developing countries with more debt.
Nongovernmental organizations (NGOs) have also voiced their dissatisfaction. The Climate Action Network International, which represents over 1,900 civil society groups across 130 countries, called the offer “a joke,” saying that it does not come close to the financial resources required to tackle the scale of the climate crisis.
Some representatives from wealthier nations, such as Australia, have suggested that $250 billion is a reasonable starting point. However, others, like Germany’s climate envoy Jennifer Morgan, acknowledged that the proposal is not yet a final agreement but expressed hope that further discussions would move the numbers in the right direction. “This is not a landing ground yet, but at least we’re not up in the air without a map,” Morgan said.
Despite the tension, UN Secretary-General António Guterres has been actively pushing negotiators to come to a consensus. Speaking from Baku after returning from Brazil, Guterres emphasized the urgency of a comprehensive deal to address the ongoing global climate crisis, which continues to produce extreme weather events. This year is on track to become the hottest on record, underscoring the need for swift, collective action to limit the impacts of climate change.
The discussions at COP29 come at a critical moment as extreme weather events like wildfires, floods, and storms wreak havoc across continents. As global temperatures rise and the impacts of climate change intensify, the summit has become a key battleground over climate finance, with developing nations seeking meaningful commitments to support their climate adaptation and mitigation efforts.
