Addressing the Climate Finance Shortfall: Calls for Financial Reform and Economic Factors Limiting Green Energy Transition at COP28

The United Nations climate negotiations in Dubai will focus on the funding shortfall for climate change initiatives, particularly in developing countries. The current pledge of $100 billion per year by 2025 is inadequate, and talks are underway to establish a new funding target. Developing countries need significantly more money to adapt to the effects of climate change, with estimates suggesting they require at least 10 times the current funding. The World Bank and International Monetary Fund are being urged to play a larger role in channeling funds to vulnerable nations, while debt relief is seen as a critical way to free up resources for climate investments. Efforts are also underway to overhaul the global financial system to better support climate action.