Rich nations voice opposition, talks on Loss and Damage Fund stall again

Despite developing nations making a compromise offer to locate the climate loss and damage fund in the World Bank for an intermediate period, as suggested by rich nations, talks on funding faltered on Saturday.

- Jayashree Nandi

Wealthy nations remained non-committal on being the main contributors to the fund and said they will not accept references to liability, equity and common but differentiated responsibility in the funding facility text, according to observers who declined to be named.

Developing countries have indicated that they were agreeable to locating the fund in the World Bank for a predetermined interim period, following which it will become an independent entity, a significant change from their earlier position and one that could accelerate the creation of the fund, HT reported on Saturday.

The operationalising of the funding facility was discussed at the fifth meeting of the transitional committee being held in Abu Dhabi on Friday. The fourth meeting in Aswan last month ended without a clear consensus on operationalising the fund, exposing a deep trust deficit between rich and emerging economies over historic responsibility, climate reparations and making money available for compensation, HT reported on October 26.