Forging Finance Paths: The Baku to Belém Roadmap to $1.3 Trillion Annually

The 'Baku to Belém Roadmap' aims to generate $1.3 trillion annually by 2035 to aid developing countries in combating climate change. Highlighting collaboration among governments, banks, and businesses, it proposes aligning existing finance systems to ensure cheaper and more accessible funds for sustainable development.

The COP30 presidency has unveiled the 'Baku to Belém Roadmap to $1.3 Trillion', an ambitious plan targeting an annual $1.3 trillion fund by 2035 to support developing nations in facing climate change. This initiative emphasizes action as essential, not optional, to crucial climate finance needs.

The roadmap, a continuation of agreements from COP29 in Baku, seeks cooperation from governments, banks, and private investors to mobilize necessary funding. It suggests aligning existing financial structures, rather than creating new ones, enabling more effective and affordable finance pathways for climate-vulnerable regions.

According to the roadmap, multilateral climate funds need to triple disbursements, and new tools are required to lower borrowing costs. Highlighting the debt crisis exacerbated by climate challenges, the report also stresses on the importance of adapting financial instruments, such as debt swaps, to aid developing countries' economic resilience.

(With inputs from agencies.)