negotiation watcher > finance
During the last years’ talks, both developed and developing countries stressed the importance of finance for the future climate agreement. In particular, the debate has been dominated by the developing countries request for additional, adequate and timely financing to create climate funds for adaptation and mitigation with direct contributions from developed countries. The strong disagreement on size, nature and sources of these financial fluxes repeatedly stopped negotiations, proving the critical role played by such issues in the countries agenda.
In 2009 the Copenhagen Accord made some progress, then confirmed by the Cancún Agreements in 2010.
Fast start financing: for the period 2010-2012 developed countries commit to jointly provide new and additional, predictable and adequate resources amounting to $ 30 billion with balanced allocation between adaptation and mitigation. Industrialized countries must submit information on their contributions to the fast start funding to the UNFCCC secretariat by May 2011, 2012 and 2013.
Long-term financing: after 2012, developed countries commit to support a collective goal of mobilizing $ 100 billion annually by 2020 from both public and private sources, in order to sustain developing countries.
New multilateral funding for adaptation will be delivered through effective and efficient fund arrangements, with a governance structure providing for equal representation of developed and developing countries. The Cancún Agreements establish also the Green Climate Fund, aimed at managing a significant portion of these funding.
