This will be a crucial moment for the least developed countries (LDCs) to secure the financial support they desperately need to address the impacts of climate change
The 2024 United Nations Climate Change Conference, or Conference of the Parties of the UNFCCC – more commonly known as COP29 – is going to begin on November 11 in Baku, Azerbaijan.
This will be a crucial moment for the least developed countries (LDCs) to secure the financial support they desperately need to address the impacts of climate change.
Who are the LDCs?
Least Developed Countries (LDCs) are a group of countries with the lowest indicators of socioeconomic development. These countries face significant challenges, including poverty, hunger, disease, and environmental degradation.
There are 46 LDCs, primarily located in Africa, Asia, and the Pacific. Afghanistan, Bangladesh, Cambodia, Lao People’s Democratic Republic, Myanmar, Nepal, Timor-Leste, and Yemen are the countries from Asia.
Purpose and function
LDCs do not have a specific “function” in the traditional sense. However, due to their unique challenges, they often collaborate and advocate for their interests on the global stage.
They are working to survive and develop, adapt to climate change, mitigate climate change, and secure international support. By working together and advocating for their needs, LDCs aim to overcome their challenges and achieve sustainable development.
LDCs and COP29
It will be a critical moment for Least Developed Countries (LDCs) to secure the financial support they desperately need at the conference. Least Developed Countries (LDCs) have their key expectations from a financial perspective in COP29.
New Collective Quantified Goal (NCQG) and $100b
NCQG is a bit ambitious. However, LDCs are pushing for a significantly increased NCQG that reflects their actual financial needs. They argue that the current goal of $100 billion per year is insufficient and outdated.
They seek a goal that adequately covers both mitigation and adaptation efforts, with a strong focus on adaptation finance. It will have a significant discussion in COP29.
Increased grant-based financing, not loans
Loans allow developed countries to maintain economic influence over LDCs. By extending loans, they can impose conditions and influence economic policies, potentially benefiting their own businesses and industries.
Developed countries are interested in giving loans, not grant-based financing.
LDCs emphasize the need for more grant-based financing, as loans can worsen debt burdens. They advocate for a shift away from loans towards grants and concessional finance.
This would enable them to prioritize climate-resilient development and avoid diverting resources from essential social services. It will be discussed again in COP29.
Simplified access to climate finance
LDCs often struggle with the complex application processes and bureaucratic hurdles associated with accessing climate finance.
Many LDCs lack the technical capacity to prepare bankable projects and meet the stringent requirements of international financial institutions. Weak institutional frameworks and limited human resources hamper LDCs’ ability to effectively access and manage climate finance.
LDCs face numerous challenges in accessing existing climate finance. They call for rationalized procedures, reduced bureaucracy, and simplified application processes. This would allow them to utilise funds quickly and efficiently for climate action projects.
They will emphasise this in COP29.
Dedicated funding for loss and damage
The establishment of the Loss and Damage Fund at COP-27 was a significant step. The Board of the Fund for Responding to Loss and Damage made significant decisions towards the Fund’s full operationalization at its third meeting in Baku, hosted by the COP29 Presidency of Azerbaijan.
This lays the groundwork for the fund to disburse funding for the first time in 2025. There are significant expectations for dedicated funding for loss and damage at COP29.
LDCs expect concrete commitments behind this fund at COP29. They need adequate resources to address the irreversible impacts of climate change, such as sea-level rise and extreme weather events.
Climate Finance for a just transition
LDCs require support for a just transition to low-carbon economies. This includes financing for job creation, skill development, and social safety nets. A just transition ensures that vulnerable communities are not left behind in the shift towards a sustainable future.
Accountability and transparency
DCs demand greater transparency and accountability from the least developed countries regarding climate finance commitments. They seek clear tracking mechanisms to monitor the flow of funds and ensure they reach the intended beneficiaries.
This will help build trust and ensure that climate finance is used effectively.
Increased adaptation finance
LDCs are pushing for developed countries to fulfill their promise to double adaptation finance by 2025. They seek increased support for developing and implementing NAPs (National Adaptation Plan).
These countries need technical assistance to build capacity and develop effective adaptation strategies. They expect enhanced knowledge sharing and technology transfer to support adaptation efforts.
LDCs require investment in climate-resilient infrastructure, including transportation, energy, and water systems. They seek access to climate-resilient technologies to build sustainable infrastructure.
These countries advocate for support for ecosystem restoration and conservation to enhance natural defenses against climate change. They emphasize the importance of incorporating indigenous knowledge and practices into adaptation strategies.
Mitigation targets
LDCs expect developed countries to submit ambitious (nationally determined contributions) NDCs with significantly reduced emissions targets. They advocate for a rapid phase-out of fossil fuels, particularly coal, and a shift towards renewable energy sources.
These countries seek increased climate finance to support their mitigation efforts, including investments in renewable energy and energy efficiency. They expect technology transfer and capacity building to access and deploy clean technologies.
Nature-based solutions
LDCs expect increased investment in NBS, such as ecosystem restoration, reforestation, and sustainable agriculture. They emphasize the importance of incorporating indigenous knowledge and practices into NBS.
These countries advocate community-led NBS initiatives to ensure local ownership and sustainability.
Renewable energy technologies
LDCs seek accelerated technology transfer and capacity building to deploy renewable energy technologies. They need financial support to invest in renewable energy projects, including solar, wind, and hydropower.
These countries require support for grid integration and energy storage solutions to ensure a reliable supply of renewable energy.
NBS and RE combine approach
LDCs advocate for integrated approaches that combine NBS and renewable energy to maximize benefits. seek investments in climate-resilient infrastructure that incorporates both NBS and renewable energy.
By prioritizing NBS and renewable energy, LDC countries can build resilience, mitigate climate change, and create sustainable livelihoods. COP29 provides a crucial platform to advance these priorities and secure the necessary support.
Indigenous Peoples’ Rights
LDCs emphasize the importance of respecting indigenous knowledge and rights in climate decision-making. They advocate for the inclusion of indigenous peoples in climate action planning and implementation.
Youth leadership
LDCs advocate for increased youth participation in climate decision-making processes. They support youth-led initiatives to address climate change, such as climate education, innovation, and activism. LDCs seek financial support for youth-led climate projects and initiatives.
Gender equality
LDCs demand gender-responsive climate policies and programs. They advocate for increased women’s leadership in climate decision-making. LDCs seek to empower women and girls to participate in climate action and sustainable development.
By arranging youth engagement and gender equality, these countries aim to harness the potential of young people, empower women, and build a more inclusive and sustainable future.
Most importantly, by securing financial commitments, LDCs can enhance their resilience, adapt to climate change impacts, and contribute to global efforts to limit warming to 1.5°C.
COP29 presents a critical opportunity for developed countries to demonstrate solidarity and support the most vulnerable nations.
