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Finance Draft: Increase Focus on Emissions Reduction Efforts, Numbers Needed

“Draft Text Reveals Stark Contrasts in Post-2025 Finance Goals for Developing Nations”

The draft text released by the COP29 Presidency outlines two very different options for the post-2025 goal for climate finance for developing countries. The text leaves key issues undecided, such as who pays, how much, and the structure of the goal. The two main options presented in the text reflect the preferences of developing countries and developed countries.

Option one proposes an annual goal from 2025 to 2035, while option two suggests a goal to be reached by 2035, giving wealthy nations more time to meet it. Option one emphasizes finance from developed to developing countries, with the possibility of developing countries providing finance voluntarily. On the other hand, option two includes a wide range of sources and instruments for finance, including public, private, and innovative sources.

The text also addresses the prioritization of the world’s poorest countries and small island developing states (SIDS) in receiving finance. However, the specific amounts for these countries have not been agreed upon, leading to alternative options being considered.

Experts have reacted to the draft text, with some expressing concerns about the lack of sub-goals for cutting emissions, adapting to climate change, and addressing loss and damage. There are also worries about the inclusion of carbon credits as climate finance, which experts argue is not aligned with the goals of the Paris Agreement.

As the COP29 negotiations continue, there is a sense of urgency to reach an agreement on the climate finance goal. Countries are divided on various aspects of the text, with developing countries pushing for more clarity and commitment from developed nations. The need for minimum allocations earmarked for SIDS and least developed countries is also emphasized.

In addition to the discussions on climate finance, the COP29 Presidency also unveiled new drafts on emissions-cutting strategies. However, concerns have been raised about the weakening of the Mitigation Work Programme, with some countries expressing disappointment over the lack of progress in addressing the transition away from fossil fuels.

Mexico made a significant announcement committing to net-zero emissions by 2050, becoming the last G20 nation to set such a target. The country plans to submit an updated national climate plan next year and increase its ambition in emissions reduction efforts.

The negotiations on gender language at COP29 have also faced challenges, with socially conservative countries blocking references to certain terms. The latest version of the gender text has sparked mixed reactions, with some calling for stronger language to address gender issues in climate action.

Overall, the discussions at COP29 highlight the complexities and challenges in reaching consensus on key issues related to climate finance, emissions reductions, and gender equality in climate action. The coming days will be crucial in determining the outcomes of the conference and the global response to the climate crisis.

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