The COP29 Summit has opened in Azerbaijan, drawing nearly 200 nations together to address climate change with a special emphasis on finance. Known as the “finance Conference of the Parties,” COP29 seeks to bolster climate funding for developing nations to help them manage the intensifying effects of global warming. Despite over $1.5 trillion invested in climate finance since 2022, less than 3% has reached the world’s least developed countries.
Discussions are underway to set a new annual climate finance target, replacing the expiring $100 billion commitment, which had aimed to assist poorer nations in their clean energy transitions. According to a recent UN report, between $455 billion and $584 billion will be required each year to meet the needs of 98 countries in addressing climate resilience and reducing emissions.
In addition to funding, COP29 participants will work on updating national emission reduction targets and developing strategies for phasing out fossil fuels, as scientists project 2024 could be the hottest year on record. Notably, leaders from the US, China, and India—the world’s top carbon emitters—are absent from the summit, even as G20 countries are responsible for about 77% of global greenhouse gas emissions. Experts say that to stay within the Paris Agreement goals, global investment in climate solutions needs to increase fivefold.
Source: COP29