What is Loss and Damage Fund?
The loss and Damage fund is a fund specially designed to provide financial assistance to nations that are most susceptible and most affected by climate change. According to a report from the World Meteorological Organization, the number of disasters has increased more than five-fold over the 50-year period. The Loss and Damage Fund aspires to rehabilitate and help nations to combat climate change, especially those nations that are contributing least to global greenhouse gas emissions which ultimately lead to climate change. According to reports by 55 vulnerable countries, their combined climate-linked loss and damages over the last two decades were estimated at a total of a whooping US$ 525 billion, which is 20 per cent of their collective GDP. As climate uncertainty rises, some research also suggests that by 2030, such losses could reach US$ 580 billion per year.