WHEN the loss and damage finance needs are in billions, around $810 million has been pledged so far for the Fund for Responding to Loss and Damage, previously known as the Loss and Damage Fund, including pledges made in COP29. This is around 0.2 per cent of the irreversible losses and damages the developing countries are experiencing every year due to global warming. The projected loss and damage impacts can be higher in developing countries, reaching $290鈥�580 billion a year by 2030. The parties representing developed countries must acknowledge the increasing harm caused by climate change and act upon it.
Poorer communities across the world are disproportionately impacted by climate change, despite having the least responsibility for causing the ongoing crisis. The low-income countries have contributed a negligible amount of excess emissions 鈥� just 0.5 per cent of historical emissions. Loss and damage is underpinned by this deep injustice. Acknowledging the developed countries鈥� historical responsibility for carbon emissions and the ground realities of increasing suffering in the frontline climate-impacted developing countries, parties must come forward to contribute to the loss and damage fund with new, additional and grant-based finance and include loss and damage as a sub-goal in the new climate finance goal in providing the poorer communities a fighting chance to make a recovery.
COP29 confirming the loss and damage fund to disburse money in 2025 is a step forward in the right directions; however, the pledges made so far by no means represent what is actually needed to address loss and damage鈥攐f the pledged amount, at least $200 million is expected to be used in setting up the Fund or initiating its operations. It appears that the call made to the developed countries to make contributions to the loss and damage fund has not been realised yet as expected. It is not mandatory for the developed countries under the Fund to support loss and damage activities; instead, they are only 鈥榰rged鈥� to do so.
Bangladesh has experienced at least four cyclones: Cyclone Remal (2024), Cyclone Mocha (2023), Cyclone Hamoon (2023) and Cyclone Midhili (2023) since the historic loss and damage fund agreement was reached during COP27 in 2022. These cyclones impacted millions of lives 鈥� lives lost, houses, workplaces damaged, and basic water, health, and education services remained disrupted, affecting people鈥檚 lives and livelihoods. Among these, at least 16 people were reported killed and more than 4 million people were affected by Cyclone Remal in this year. Millions鈥� houses, works and wellbeing have been affected across 19 districts in Bangladesh. The government estimated losses caused by Cyclone Remal at around $583 million. Cyclone Remal costs would be significantly higher if non-economic loss and damage, i.e., loss of people鈥檚 wellbeing and loss of and damage to ecosystems and biodiversity, could be fully included in the impact calculation. Often the tools used for assessing loss and damage in a post-disaster situation mostly focus on assessing loss of life, loss of, and damage to infrastructure, leaving little room for identifying and exploring disasters鈥� impacts on individuals, societies as a whole, and the natural environment.
More frequent and intense disasters make it very difficult for some communities to cope, recover and bounce back in life in many cases. The country also experienced massive flooding in 2022 and 2024, impacting the lives and livelihoods of millions. The country is ranked 8th most vulnerable country to climate change. Developing countries like Bangladesh have been demanding loss and damage finance for decades, and the low contributions risk the full operationalisation, capitalisation and replenishment of the Fund.听
Developed countries, which are most responsible for the ongoing climate crisis, must come forward to pay for climate solutions. The pledges made so far to address losses and damages are nowhere near what is needed by people in the developing countries. COP29 gives a chance to bridge this loss and damage finance gap here at Baku and bring a positive change in the lives of climate-impacted communities across the world. It should not be missed.
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Nushrat Chowdhury works on climate policy with Christian Aid. She writes from COP29 in Baku.
