Raising resources using climate-resilient bonds4 min read . Updated: 24 Nov 2016, 06:27 AM IST
As the likelihood of climate disasters goes up, the need to mobilize additional finance to address the losses is greater
The lack of any concrete advances on finance pledges in the recently concluded climate change negotiations in Marrakech amplifies the need for innovation in financing mitigation and adaptation activities, as well as to insure against loss and damage caused by climate change. If Paris was about committing to prevent the rise of temperature beyond 2 degrees Celsius, Marrakech aimed to move the needle on loss and damage. Parties approved a five-year work plan on loss and damage, which, starting 2017, will see countries formally address topics such as the slow-onset impacts of climate change, non-economic losses and migration. However, developing countries are fast realizing that financial support for loss and damage (which is not governed by a legally binding framework) from developed countries is likely to be very small.