New Zealand's creation of climate change damage fund indicates growing commitment to Pacific Island countries

Key points

• Event: On 9 November, the New Zealand government announced that it would allocate NZD20 million (USD11.82 million) as part of a climate fund to help address climate change-related damage in developing countries
• Significance: Between 2000 and 2019, climate-vulnerable countries worldwide have lost approximately USD525 billion owing to changes in temperature and precipitation resulting from climate change
• Outlook : It is likely that the major beneficiaries of New Zealand's allocated climate funding will be the Pacific Island countries

Event:

On 9 November, the New Zealand government announced that it would allocate NZD20 million (USD11.82 million) as part of a climate fund to help address the impact of loss and damage from climate change in developing countries across the world. The announcement was made against the backdrop of the COP27 conference being held in Egypt from 6 to 18 November. This COP (Conference of Parties) event is the 27th meeting of countries that are party to the United Nations Framework Convention on Climate Change drafted in 1992.

Significance:

The 9 November declaration places New Zealand among a small group of countries that have agreed to commit funds to help developing countries address the effects of climate change. Other countries that have committed to setting up similar climate loss and damage funds include Belgium, Denmark, and Germany.