Must-haves for adaptation finance in the New Collective Quantified Goal

The document argues that the New Collective Quantified Goal (NCQG) must address critical gaps in adaptation finance, which has lagged behind mitigation. It proposes specific requirements for the goal's quantum and instruments to ensure sufficiency, the support of transboundary cooperation for effectiveness, and improved allocation and access mechanisms to ensure equity. Additionally, it suggests enhancing the Enhanced Transparency Framework (ETF) and Biennial Transparency Reports (BTRs) to improve accountability for both providers and recipients of adaptation funding.

• Adaptation finance is currently insufficient to meet the needs of developing countries, with the UN Environment Programme estimating annual costs between USD 215–387 billion this decade, while actual financial flows have declined since 2020.
• The prevalence of non-concessional loans in climate finance increases debt burdens for countries in debt distress, limiting their fiscal capacity to invest in adaptation; for instance, only 15% of adaptation finance through multilateral development banks (MDBs) in 2019–20 was grant-based.
• Adaptation finance is inequitably distributed, with local communities receiving as little as 17% of total international public adaptation finance, and Indigenous Peoples receiving less than 1% of climate finance.
• Current adaptation efforts are often too fragmented and incremental; the document argues that the NCQG must support regional and multi-country cooperation to manage transboundary climate risks that cannot be handled at national or local levels.
• Existing transparency mechanisms, such as Biennial Transparency Reports (BTRs), lack specific quantitative indicators for adaptation effectiveness and do not track funding provided or received through Direct Access and Enhanced Direct Access programs.

APA

Stockholm Environment Institute (2024). Must-haves for adaptation finance in the New Collective Quantified Goal. https://www.sei.org/publications/must-haves-adaptation-finance-new-collective-quantified-goal/

Chicago

Stockholm Environment Institute. Must-haves for adaptation finance in the New Collective Quantified Goal. 2024. https://www.sei.org/publications/must-haves-adaptation-finance-new-collective-quantified-goal/.

Wikipedia

{{cite report |author=Stockholm Environment Institute |title=Must-haves for adaptation finance in the New Collective Quantified Goal |date=4 September 2024 |url=https://www.sei.org/publications/must-haves-adaptation-finance-new-collective-quantified-goal/ |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{stockholmenvironmentinstitute2024musthaves, author = {{Stockholm Environment Institute}}, title = {{Must-haves for adaptation finance in the New Collective Quantified Goal}}, institution = {Stockholm Environment Institute}, year = {2024}, month = sep, url = {https://www.sei.org/publications/must-haves-adaptation-finance-new-collective-quantified-goal/}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }