The $300B climate finance deal at COP29 sparks debate

At the United Nations COP29 summit in Azerbaijan, nearly 200 countries agreed on a nonbinding target that wealthy nations will provide $300 billion annually by 2035 to help poorer nations combat climate change.

The figure, triple the current $100 billion commitment, aims to fund clean energy projects and mitigate extreme weather impacts, such as rising seas, droughts and storms.

Mixed reactions and ongoing challenges
While some delegates celebrated the deal, others criticized it as inadequate. The African Group called the pledge “too little, too late,” while India labeled it “a paltry sum.”

Environmentalists and developing countries criticize the finance as too less compared to the $1.3 trillion poorer nations need every year to protect their surroundings.

Wealthy nations, including the US, made no firm pledges and China, the largest emitter, wasn’t obligated to contribute. However, countries like the UK highlighted opportunities for business investments in the green energy market.

Trust issues loomed, with poorer nations lamenting delayed financial aid and mounting debt due to loan-based assistance. Meanwhile, Saudi Arabia blocked agreements on phasing out fossil fuels.

Urgency and future plans
Scientists warn that 2024 may be the hottest year on record, stressing the urgency of climate action. 

The summit concluded with a focus on next year’s climate action discussions in Brazil’s Amazon rainforest.