Countries attending the COP29 Climate Change Summit in Baku agreed to a new $300 billion annual global finance target to support developing nations in adapting to and mitigating the effects of climate change. Despite being three times larger than the $100 billion annual commitment established in 2009, this deal has drawn criticism from developing nations that wanted more.
The $300 billion fund is intended to help poorer nations transition away from fossil fuels like coal, oil, and gas. However, tensions arose during the summit when COP29 President Mukhtar Babayev finalized the agreement without allowing further discussion from attending nations. Delegates from several developing countries, including India, expressed disappointment, accusing wealthier nations of failing to meet their responsibilities.
Indian delegation representative Chandni Raina strongly criticized the agreement, describing it as inadequate, saying the country was disappointed in the outcome “which clearly brings out the unwillingness of the developed country parties to fulfill their responsibilities.”
"I regret to say that this document is nothing more than an optical illusion," Raina said, according to Reuters. "This, in our opinion, will not address the enormity of the challenge we all face. Therefore, we oppose the adoption of this document."
United Nations Secretary-General António Guterres echoed these concerns, stating that he was disappointed and “had hoped for a more ambitious outcome, on both finance and mitigation, to meet the great challenge we face."
Meanwhile, US President Joe Biden hailed the agreement as a "historic outcome," asserting that it “will help mobilize the level of finance – from all sources – that developing countries need to accelerate the transition to clean, sustainable economies, while opening up new markets for American-made electric vehicles, batteries, and other products."
"In the years ahead, we are confident that the United States will continue this work...While some may seek to deny or delay the clean energy revolution that's underway in America and around the world, nobody can reverse it — nobody,” Biden said.
Biden’s comments come as President-elect Donald Trump, who previously withdrew the US from the Paris Climate Agreement during his first term, has indicated he will take similar action after his inauguration. The US rejoined the agreement under Biden’s administration, but Trump has remained critical of the deal.
