Opinion: Progress on loss and damage fund shows climate is global priority

The past years have shown that solidarity in climate response remains possible and works. Indeed, the establishment of the Fund for Responding to Loss and Damage, or FRLD, represents a landmark in international cooperation and renewed global solidarity toward climate action. Since the decision to operationalize FRLD more than a year ago, significant progress has been made in advancing its mandate — building the capacities of most vulnerable nations in responding to loss and damage and prioritizing swift action in reaching the most affected populations. However, current global projections indicate a stark reality — escalating climate-induced loss and damage far outpace the resources available, underscoring the urgency to capitalize the fund to meet the growing demand. The Sixth Assessment Report from the Intergovernmental Panel on Climate Change warned that climate-related loss and damage will continue to worsen, disproportionately affecting vulnerable populations, with over 3.3 billion people already at high risk. FRLD provides an opportunity to address the negative impacts of climate change to the most vulnerable nations, complementing other response instruments for a holistic approach. At FRLD’s fifth board meeting in April in Barbados, the Barbados Implementation Modalities, or BIM, was adopted, unlocking an initial $250 million, half of which will support small island developing states, or SIDS, and least developed countries, or LDCs. These interventions will be delivered through grants ranging from $5 million to $20 million per initiative, supported by flexible mechanisms designed to maximize impact. At a high-level dialogue co-convened by FRLD and the United Nations secretary-general in April during the World Bank Spring Meetings, stakeholders called for simplified processes to access the fund. Participants emphasized the need for greater coherence, coordination, and complementarity across the climate finance ecosystem as critical to mobilizing and allocating resources efficiently and equitably. The high-level dialogue reinforced key principles that must guide the way forward. Firstly, investing in disaster preparedness and resilience building can be more cost-effective than adopting a reactive approach. Secondly, country-led and bottom-up approaches combined with community involvement have repeatedly shown themselves to be the most sustainable and effective. Lastly, we must harness the power of technology. Innovations such as early-warning systems and anticipatory action frameworks are enhancing our response, but their reach must be expanded and better coordinated. Still, tools and mechanisms alone are not enough. Success hinges on collaboration. Too often, we have worked in silos. Our fund seeks to break down these walls and build bridges, between sectors, between countries, and between global institutions and local actors. Strategic partnerships will be the cornerstone of our impact. As we look ahead to the 30th U.N. Climate Change Conference, or COP30, the Paris Agreement and the U.N. Framework Convention on Climate Change remain the most effective tools to address our common goal and this global threat. These are our guiding compasses. But compasses alone cannot carry us forward. We must continue to act with urgency and unity. The upcoming Financing for Development summit in Seville, Spain, provides another opportunity for greater coherence. The climate challenges transcend borders, and our success will be measured in tangible terms: lives saved and the quality of lives safeguarded. The world largely answered the call for solidarity in the creation of FRLD. It is now up to us as a collective to deliver. Collaboration, coherence, and complementarity are therefore not merely essential, but imperative. The fund’s mandate sends a powerful message: Climate change remains a global priority, and addressing loss and damage is a key part of response. FRLD, its board, and partners are forging new pathways of solidarity through complementarity, coherence, and coordination.