Wealthy nations exceed $100B climate finance but new $300B target faces uncertainty
Wealthy countries surpassed their $100 billion annual climate finance goal for the third consecutive year in 2024, providing $136.7 billion to developing nations, according to the OECD. This follows $132.8 billion in 2023 and $115.9 billion in 2022, finally meeting a commitment first made in 2009.
The funding helps developing countries invest in renewable energy and adapt to climate impacts, though concerns grow about meeting a new $300 billion annual pledge by 2035 set at last year's COP29 summit. Africa received 31% of 2024 climate finance, with Asia receiving 36%.
Most concerning: 67-73% of public climate finance came as loans rather than grants, worsening debt burdens for nations already struggling with climate change impacts. "The rich world profits from loans to poor countries dealing with climate they didn't cause. It's a total scandal," said Mohamed Adow of Power Shift Africa.
With US climate aid cuts under Trump and EU budget strains, future funding remains uncertain as developing nations push for grant-based finance to avoid debt traps.