Negotiations over the Loss and Damage Fund have reached an impasse, with the Transitional Committee tasked with drafting its basic framework deadlocked during recent marathon meetings in Egypt. The core disagreements revolve around the fund's contributors and its institutional home. The United States advocates that the fund be administered by the World Bank, which includes a wide range of contributors. Developing countries, on the other hand, want the fund to be separate from the World Bank, which they perceive as a Western-dominated institution with a history of criticized climate-related practices.
Developing countries contend that the initial financial support should be borne primarily by countries with the greatest historical responsibility for global warming. The impasse drew criticism from COP28 President Sultan Abdul Al Jaber, who stressed the need for clear and robust recommendations to operationalize the Loss and Damage Fund.
A final opportunity for government representatives to reach a consensus on the framework for the fund lies in an overtime session scheduled for next month in Abu Dhabi. Failure to reach an agreement at this point could complicate the work of COP28 negotiators and cast uncertainty over the future of this critical climate finance initiative. Sign the petition to let negotiators know that we demand a strong and well-funded Loss and Damage Fund.
