World

‘Optical Illusion’: Why India Rejected $300 Billion COP29 Climate Finance Deal?

India has rejected the climate finance agreement adopted at the COP29 Summit in Baku, criticizing it as inadequate and inequitable.

India formally rejected the climate finance agreement adopted at the United Nations COP29 Summit in Baku, Azerbaijan, expressing its objections after the deal had already been finalized.

India voices disappointment

Chandni Raina, a representative of the Indian delegation, voiced her disappointment during the summit’s closing plenary session, stating, “We are disappointed in the outcome, which clearly brings out the unwillingness of the developed country parties to fulfill their responsibilities.”

She further criticized the agreement, describing it as an “optical illusion” that fails to address the magnitude of the climate crisis. “I regret to say that this document is nothing more than an optical illusion. This, in our opinion, will not address the enormity of the challenge we all face. Therefore, we oppose the adoption of this document,” Raina said.

Global finance target of $300 billion per year at COP29

India’s stance garnered support from several countries, including Nigeria, which denounced the climate finance package as a “joke.” Malawi and Bolivia also backed India’s position, according to agaencies.

The contentious agreement reached at the 29th Conference of Parties (COP29) to the United Nations Framework Convention on Climate Change (UNFCCC) set a global finance target of $300 billion per year to assist developing nations in addressing the impacts of climate change. This figure, to be implemented by 2035, replaces the $100 billion annual commitment pledged in 2009. However, the Global South had been advocating for a significantly higher sum of $1.3 trillion over the past three years, making the $300 billion target fall far short of their demands.

COP29 in Baku

During the session, Raina emphasized that the agreed-upon amount does not align with the principle of Common but Differentiated Responsibilities (CBDR) and equity. “$300 billion does not address the needs and priorities of developing countries. It is incompatible with the principle of CBDR and equity, regardless of the battle with the impact of climate change,” she asserted.

The agreement, intended to accelerate global efforts to reduce pollution during what is projected to be one of the hottest years in history, has left many developing nations deeply dissatisfied.

Zubair Amin

Zubair Amin is a Senior Content Producer at NewsX. He produces multimedia content about world affairs, international relations and India's foreign relations. He tweets at @zubaiyramin