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- Climate change: LDC Fund and other mechanisms
Climate change: LDC Fund and other mechanisms
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The United Nations Convention on Climate Change states that “the Parties shall take full account of the specific needs and special situations of the least developed countries in their actions with regard to funding and transfer of technology” (art. 4, paragraph 9). This served as the basis for the establishment of an LDC work programme by the Conference of the Parties in 2001 and for flexibility provisions extended to the LDCs under the Convention and the Paris Agreement (such as flexibility in reporting). See information on LDC support under the UNFCCC .
- At its 2018 update, the LDC work programme called for the following actions:
- Strengthening existing—and, where needed, establishing—national climate change secretariats and/or focal points to enable the effective implementation of the Convention and the Kyoto Protocol in the LDC Parties.
- Providing ongoing negotiations training to build the capacity of negotiators from the LDCs to participate effectively in the climate change process
- Supporting the preparation of national adaptation programmes of action (NAPAs). NAPAs were structured around an eight-step process resulting in a list of discrete projects. Having completed a NAPA would make the country eligible for the Least Developed Countries Fund (LDCF) [ (PDF)].
- Promoting public awareness programmes to ensure the dissemination of information on climate change issues.
- Developing and transferring technology, particularly adaptation technology; and
- Strengthening the capacity of meteorological and hydrological services to collect, analyse, interpret and disseminate weather and climate information to support the implementation of NAPAs.
- A was established in 2001 to provide technical guidance and support to the LDCs on the process to formulate and implement national adaptation plans (NAPs), the preparation and implementation of NAPAs, and the implementation of the LDC work programme. It also provides technical guidance and advice on accessing funding from the Green Climate Fund (GCF) for the process to formulate and implement NAPs. At least two delegates per LDC Party are supported to participate in training workshops conducted by the LEG, subject to the availability of adequate resources. Priority is also accorded to the LDCs in other workshops and events organized under the Conference of the Parties (COP) and its subsidiary bodies. See the reports of the LEG to the Subsidiary Body for Implementation and the LEG's work programmes .
- Related: The , which supports developing countries in advancing their NAP processes and accelerate adaptation efforts by facilitating South–South peer learning and exchange, supporting national-level action on NAP formulation and implementation, and develops analysis, communications, and developing knowledge products, aims to ensure that at least 30% of technical support and peer learning opportunities in go to LDCs.
- The was established in 2001 to support the LDC work programme, including the preparation and implementation of NAPAs. It is operated by the Global Environment Facility (GEF). The LDCF is the only fund entirely dedicated to supporting climate adaptation action in LDCs. During its first 20 years, the fund disbursed $1.65 billion for 360 projects for the preparation and implementation of NAPAs and towards the NAP process through projects and enabling activities. The fund has also supported global initiatives for the preparation of the NAP process and the implementation of the LDC Work Programme.
- Disbursements under the LDCF follow a principle of “equitable access", which means there are caps on the amount of funds a single country can receive in any specific replenishment period (currently USD 20 million for 2022-2026, the GEF-8 period), and a cumulative cap (currently at USD 60 million) (see
- Green Climate Fund (GCF) - priority and simplified procedures. T, approved by the COP in 2011, determines that, in the allocation of resources for adaptation, it takes into consideration the “urgent and immediate needs of developing countries that are particularly vulnerable to the adverse effects of climate change, including LDCs, SIDS and African States using minimum allocation floors”. As of June 2024, . The GCF has a simplified approval process, updated in 2022, for certain kinds of projects. Most of the projects approved under this process in its pilot phase were in LDCs, SIDS or African States ().
- Allocation of resources of the Global Environment Facility (GEF) Trust Fund for biodiversity, climate change and land degradation is based on indicators of “global benefits” (related to globally relevant characteristics of the country in the three target areas), country performance and GDP. After allocation based on these criteria, adjustments are made to ensure that countries receive a minimum allocation in each of these areas. While the floor for allocation of resources dedicated to climate in countries that are neither LDCs nor SIDS is 1 million dollars, for LDCs and SIDS the floor is 2 million dollars ().
- The “supports LDCs to negotiate as a bloc at the intergovernmental negotiations under the 缅北禁地Framework Convention on Climate Change sessions, to effectively represent their collective needs”.
- The LDC Group maintains a list of .
- At the 2019 United Nations Climate Action Summit, the LDC Group launched , a vision for delivering a climate-resilient future guided by the principles of inclusion, participation, justice and equity.
- aims to support a shift away from 'business-as-usual' approaches to a more effective and ambitious climate response. LIFE-AR is a LDC-led initiative, which serves as one of the primary vehicles for delivering the LDC 2050 Vision for a climate-resilient future.
- In October 2021, the LDC group issued the (PDF), setting out priorities for COP26. See also the of the LDC Group.
- The helps local government authorities in least developed countries and other developing countries access the climate finance, capacity-building and technical support they need to respond and adapt to climate change. A standard, internationally recognized mechanism designed and hosted by the , LoCAL promotes climate-change-resilient communities and local economies. LoCAL is owned by participating countries, most of which are LDCs, with priorities defined at the annual . At COP26, the LDC Group recognised LoCAL as a long-term initiative in support of LDCs' climate action objectives. More information here.
- The aims to build capacity in LDCs to adapt effectively to the adverse impacts of climate change by developing a South-South and South-South-North knowledge sharing and capacity development programme in universities and training Institutes in LDCs to address climate change through research, knowledge sharing and education. The consortium functions through a hub-and-spoke system of universities in several LDCs.
- The is a “strategic framework for driving transformative change across sectors and a platform for sharing experiences, best practice, and disseminating knowledge to reach universal energy access and accelerate the transition to renewable energy and energy efficiency in all LDCs". The initiative also aims to support LDC's efforts to access climate-dedicated funding. It is fully driven by LDCs and supported by the South Centre.
- The International Institute for Environment and Development (IIED) supports
- The Climate Risk and Early Warning Systems Initiative (CREWS) provides financial support to Least Developed Countries (LDCs) and Small Island Developing States (SIDS) to establish risk-informed early warning services, implemented by three partners, based on clear operational procedures.
- The is a financing mechanism co-created by WMO, UNDP and UNEP, that supports countries to close the basic weather and climate observations gap. SOFF works with the countries with the most severe shortfalls in observations, prioritizing LDCs and SIDS.
- The provides LDCs and SIDS with diplomatic, legal, technical and advisory services from think tanks, associations of member states and others, to help identify priorities, develop engagement strategies and strengthen coordination in preparation for global climate negotiations. It also supports them to enhance their understanding of climate issues and strengthen their readiness to work on implementing their Nationally Determined Contributions (NDCs).
What happens when countries graduate?
The impacts of graduation depend on the policies of each instrument.
- LDCF: after graduation, countries are no longer eligible to receive new funding under the LDCF. Projects approved before and up until graduation continue to receive funding for their full implementation. Countries that are graduating receive regular communications and assistance so that their initial funding cap could be programmed fully prior to their graduation.
- Countries that have graduated from the LDC category have access to the Special Climate Change Fund and to the Green Climate Fund (GCF). The governing instrument of GCF, approved by the Conference of the Parties in 2011, determines that, in the allocation of resources for adaptation, it take into consideration the urgent and immediate needs of developing countries that are particularly vulnerable to the adverse effects of climate change, including LDCs, small island developing States and African States using minimum allocation floors. The fund aims for a floor of 50 per cent of adaptation funds to be allocated to these countries.
- Graduated LDCs that are SIDS maintain access to CREWS; other countries are not eligible to participate in future phases of the project.
- Organizations and funds that pay particular attention to LDCs but are not exclusively dedicated to LDCs will not typically withdraw funds or other forms of assistance abruptly. Account is taken of countries' persisting needs beyond graduation.
Financial and technical cooperation
- LDC-specific mechanisms and support
- Comprehensive Programmes of Action for LDCs
- Bilateral ODA to LDCs
- Multilateral and regional development cooperation
- Climate change: LDC Fund and other mechanisms
- Environment
- South-South and triangular cooperation
- Scholarships, grants and other resources for education and research
For more information
- on climate change