IIED explains: nature and climate finance

Finance was a major stumbling block at COP16, with no clear way forward agreed for funding biodiversity protection and restoration.

As COP29 approaches, mobilising money remains top of the agenda, with a new target to be set for climate finance. Nature and climate finance are essential to tackle connected challenges, such as adapting to climate impacts, compensating for loss and damage, and protecting and restoring ecosystems.

70% of climate finance is provided as loans, increasing debt. More funding is needed but we must also pay attention to who has access. Indigenous Peoples and local communities safeguard much of the world’s biodiversity. They should receive direct grants and a voice at the table to shape funding priorities, to ensure it recognises and respects their rights, knowledge and territories.

By supporting communities and exchanging knowledge, we can better grasp the true impact of non-economic loss and damage, and develop tailored responses.

Find out more about IIED's presence at COP29 - https://www.iied.org/where-find-iied-...