Climate finance crisis looms as rich countries fall back on $100bn pledge

A new report by Oxfam International has shed light on the looming climate finance crisis, as funding pledges continue to go unfulfilled. The report reveals that while there is a $100 billion pledge, only $24 billion has been disbursed, leaving the world's poorest countries, particularly the least developed and small island developing states, without the necessary support. CNBC Africa recently spoke to Nafkote Dabi, Climate Change Policy Lead at Oxfam International, to discuss the critical issue. Dabi emphasized the significance of rich countries meeting their $100 billion target, stressing that this promise was made 14 years ago and is essential to build trust in climate negotiation spaces. Failure to meet this goal jeopardizes the progress of these negotiations, as developing countries, especially in Africa, rely on this finance to adapt to the adverse impacts of climate change and build resilient economies. The lack of financial support threatens to hinder the global fight against the climate crisis. Dabi highlighted the urgent need for the rich countries to honor their commitments and provide the necessary funding to address the pressing climate challenges faced by vulnerable nations. The disparity between pledged and disbursed funds raises concerns about the credibility of these promises and the impact on developing countries. Developing nations, civil society organizations, and advocates are calling for accountability and urging developed countries to fulfill their financial obligations. The report's findings underscore the urgency of the situation and the critical need for immediate action to prevent further escalation of the climate crisis. Dabi outlined the steps that need to be taken moving forward, emphasizing the importance of addressing the injustice and inequality inherent in the climate crisis. Pressure must be maintained on developed countries to meet their financial targets and provide support for adaptation, mitigation, and addressing loss and damage. The humanitarian aspect of the crisis was also highlighted, with a call for urgent funding to address the immediate needs of vulnerable populations. The discussion also touched on the role of private actors in funding climate initiatives, with a plea for increased investment in renewable energy and sustainable practices in Africa. Private sector engagement is seen as crucial in bridging the financing gap and supporting the transition to a low-carbon economy. The conversation highlighted the need for a multi-faceted approach involving both public and private sector stakeholders to effectively combat the climate crisis and ensure the equitable distribution of resources. As the world grapples with the consequences of climate change, the importance of fulfilling financial commitments and enhancing global cooperation cannot be overstated. The time to act is now to avert a worsening climate finance crisis and protect the most vulnerable communities from the ravages of environmental degradation.