A group of nations, including much of Europe, the US and Japan, is obliged under the Paris Agreement to provide international “climate finance” to developing countries.
This financial support can come in forms such as grants and loans from various sources, including aid budgets, multilateral development banks (MDBs) and private investments. The flagship climate-finance target for more than a decade was to hit “$100bn a year” by 2020, which developed countries met – albeit two years late – in 2022.
