More than 32 hours after the planned end of the COP29 climate summit in the Azerbaijani capital Baku, chair Mukhtar Babayev announced an agreed target for international climate financing: developed countries are committed to providing "at least" $300 billion by 2035.
The adopted text states that developed countries will "take the lead" in raising that amount. However, in addition to public money, private money and "alternative sources of financing" may also be considered. The money mobilised via the multilateral development banks may also be included.
This amount should help to mobilise $1,300 billion by 2035 to help developing countries reduce their greenhouse gas emissions (mitigation) and adapt to the consequences of climate change (adaptation).
In turn, developing countries are "encouraged" to contribute, albeit on a purely voluntary basis.
Cop29 President Mukhtar Babayev. Credit: COP29
A roadmap will be launched for COP30 in Brazil to scale up climate financing, "including through grants, concessional and non-debt-creating instruments". A previously circulating text still mentioned that it should be considered how exactly this amount should be distributed, and what share should be reserved for small island states and the least developed countries, but this was omitted from the final version.
The new financing target will be evaluated during the next global stocktake in 2028 and there will also be another evaluation moment in 2030.
There was a lot of discussion for a long time about the amount that the developed countries would commit to; developing countries wanted at least $500 billion, mainly in the form of grants. Developed countries wanted the donor base to be expanded, with countries such as China and the Gulf States.
The new target replaces the previous one that was agreed at COP15 in Copenhagen in 2009. At that time, developed countries committed to providing $100 billion by 2020. However, according to figures from the OECD, that target was not achieved until 2022.
'Optical illusion'
Several countries, led by India, spoke out against the new target for international climate financing during COP29's closing plenary meeting. The Indian representative, Leela Nandan, indicated that she wanted to make her opposition known before the agenda item was accepted, but had been ignored.
Nandan spoke of an "unfortunate incident" in which the positions of certain countries were not respected. "I informed the chair that I wanted to make a statement before the text was adopted. I am therefore extremely disappointed that I was not given that opportunity."
This was followed by a long and loud applause. "It is not enough to agree on something and ignore parties so that they cannot speak. We want you to hear us and hear our positions," she continued.
"Trust is the basis for all action and this incident shows a lack of trust. India does not accept the target in its current form. It is too little and too far in the future and it does not respond to the needs and priorities of developing countries," Nandan said. "This is nothing more than an optical illusion."
Credit: Belga/Yoeri Maertens
Bolivian negotiator Daniel Pacheco then took the floor to emphasise solidarity with India. "The financing is far below what we ask for. Climate financing means the end of international cooperation. It is now every man for himself."
Nigeria called the agreement an "insult" and a "joke". "Do we have to clap our hands for that at 03:00 in the morning, I don't think so."
The European Union, through European Climate Commissioner Wopke Hoekstra, took up the defence of the agreement. Hoekstra called the target "ambitious, necessary, realistic and achievable." At the same time, he called on countries that are able to contribute to do so. "We are confident that we will achieve the target of $1,300 billion."
