Approval and Capitalisation of Loss and Damage Fund at COP28
During the first day of COP28 in Dubai, countries reached a historic agreement to operationalise the long-demanded Loss and Damage Fund. This fund aims to financially assist developing nations in recovering from climate disasters, addressing the disproportionate impact on these nations. The immediate infusion of over $400 million into the fund is seen as a major step forward. The Purpose and Impact of the Loss and Damage Fund The Loss and Damage Fund provides financial assistance to developing countries affected by climate disasters, covering both economic and non-economic losses. Developed nations are obligated to contribute resources to help these countries cope with climate change impacts. A study estimates a $1.5 trillion loss globally in 2022, with least developed countries experiencing an 8% GDP loss on average. Historical Responsibility: Industrial Era and Greenhouse Gas Emissions The Industrial Era, starting in 1850, significantly contributed to greenhouse gas emissions, with