Baku

India on Tuesday (Nov 12) emphasised the need for a carbon market mechanism at the annual COP29 climate negotiations currently underway in Baku, Azerbaijan. India called for a mechanism that doesn’t create trade barriers, while also pitching a recalibration of climate finance under the updated goals. The New Collective Quantified Goal (NCQG) asks developed nations to offer annual climate finance for climate action projects in developing countries.

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India also called on developed nations to provide financing that is “adequate, predictable, accessible, grant-based, low-interest, and long-term”. New Delhi also stressed the need to establish carbon market mechanisms under Article 6 of the Paris Agreement that utilise carbon credits to incentivise low-carbon development, without creating barriers to trade.

World’s top banks vow $120bn aid to poorer nations

The world’s largest multilateral development banks (MDBs) on Tuesday meanwhile introduced a climate financing scheme, pledging $120 billion to poorer nations by the year 2030.

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This marks a significant hike from the $75 billion raised in 2023 and a mere $60.9 billion raised in 2022 by the MDBs.

Also read: COP29 to spotlight divided global energy transitions amid U.S. climate setbacks

Notably, MDB group includes major institutions like the World Bank, the European Investment Bank and the Asian Development Bank. "While the scale of MDBs' financial commitments is essential, MDBs’ most significant impact comes from our ability to drive transformative change," the group said in a statement.

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UN climate chief says action on climate change ‘robust’

Earlier, the UN climate chief Simon Stiell told the gathering that despite the victory of Donald Trump in US, global action on climate change remains “robust.” Trump earlier vowed to withdraw US from the Paris Agreement.

“Many of you have been reporting on the climate implications of political events in the last weeks. I’ll just say this: our process is strong. It’s robust, and it will endure,” said Stiell.

Watch: World Leaders Skip COP29 Summit In Baku

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Washington’s top envoy, John Podesta, also said Trump’s victory didn’t threaten American co-operation on the issue of climate change.

(With inputs from agencies)