Baku, Azerbaijan- The Global South’s $1.3 trillion annual climate finance demand is not an overreach but a modest and reasonable down payment toward meaningful climate action. This figure represents a good-faith gesture to address the historical injustices and devastating impacts of climate change inflicted disproportionately on developing nations by the industrialized Global North.
Yet, the response from historic polluters has been nothing short of disgraceful. Their counteroffer of a mere $250 billion to be “mobilized” by 2035 is not only insufficient but also laden with poor-quality financing schemes. These so-called solutions often come in loans or market-based mechanisms, exacerbating economic entrapment rather than alleviating it.
For the Global South, climate finance must be transformative. It should come as grants, not loans that perpetuate dependency and debt. It must include the cancellation of all climate-related debts, freeing developing nations from financial burdens that hinder their capacity to build resilience. Most critically, it must involve the transfer of life-saving technologies to enable the manufacturing and deployment of renewable energy, clean cooking systems, sustainable transportation, and the infrastructure needed for climate adaptation and resilience.
What the Global North is offering is not just inadequate; it is an outright insult. It mocks the urgency of the climate crisis and disrespects the delegations tirelessly advocating for justice at COP29. Let us not forget that the United States alone, in the aftermath of World War II and the Great Depression, provided the equivalent of $1.3 trillion in today’s dollars through the Marshall Plan to rebuild war-torn Europe. If such an investment was possible then, why is it inconceivable now for the industrialized world to take responsibility for a crisis it created?
The Global South must stand united and remain firm, for there is no use in accepting deals that undermine our future. No deal is better than a bad deal. We are the global majority, and with unity, we can leverage the complementarity of our resources and capabilities to push for a new international economic order rooted in justice, peace, and prosperity.
If the Global North continues to shirk its responsibilities, the Global South must be prepared to escalate its stance. This could include restricting access to our strategic minerals, withholding entry to our markets, and collectively wielding our economic weight to demand real climate action.
The $1.3 trillion demand is not merely a financial request; it is a call for equity, accountability, and the survival of humanity. Anything less is an abdication of moral responsibility. The time for half-measures and empty promises is over. It is time for the Global North to act decisively—or risk being held accountable by a united and resolute Global South.
Fadhel Kaboub
Senior Advisor at Power Shift Africa, Member of the Independent Expert Group on Just Transition and Development