The COP28 climate conference, hosted in Dubai, officially launched a “loss and damage” fund on Thursday, fulfilling a longstanding demand by vulnerable nations affected by climate-related natural disasters. Sultan Al Jaber, the president of COP28, announced the historic development, revealing that the UAE is committing $100 million to the fund. Germany also pledged $100 million.
The establishment of this fund, agreed upon during COP27 in Sharm El Sheikh, Egypt, became operational following an agreement reached during transitional committee meetings. The fund will be housed at the World Bank on an interim basis.
Sultan Al Jaber expressed enthusiasm about the achievement, stating, “We have delivered history today.” He emphasized that this marked the first time a decision had been adopted on the first day of any COP, highlighting the unique speed and historic nature of the process. Al Jaber sees this as evidence that COP28 can and will deliver.
Loss and Damage, essential even if climate mitigation goals are met, addresses the impacts already locked in due to global warming. It particularly affects vulnerable communities facing extreme weather events, reduced agricultural productivity, and rising sea levels.
The UAE’s commitment of $100 million to the fund aims to provide financial assistance to countries facing extreme climate risks for climate change mitigation and recovery. Other notable commitments include Germany’s $100 million, the UK’s £40 million for the fund and £20 million for other arrangements, Japan’s $10 million, and the U.S.’s $17.5 million.
