COP30 in Belém set to continue finance fight after disappointing COP29 in Baku
Developing countries, led by India, press for enforcement of Article 9.1 of the Paris Agreement
Baku summit agreed $300 billion annually by 2035, far short of the $1.3tn demanded
Expert says shift to private finance lets rich nations dodge legal obligations
Brazil, as COP30 president, pushes reform of multilateral development banks to scale up funds
The 30th Conference of Parties (COP30) to the United Nations Framework Convention on Climate Change, to be held in Belém, Brazil this year, is set to carry forward the contentious debate on climate finance, taking a cue from COP29. Developing countries, including India, will be pressing for the enforcement of Article 9.1 of the Paris Agreement, Down To Earth has learnt.
Finance negotiations at last year’s UN climate summit in Baku, Azerbaijan, which was also known as the ‘finance COP’, ended in disappointment. Governments agreed only to mobilise $300 billion annually by 2035, far short of the $1.3 trillion target that developing countries had demanded. The text also diluted the legal obligation of developed countries to provide the entirety of the finance under the goal.
At COP29, two goals related to the ‘mobilisation’ of finance were outlined as part of the new collective quantified goal (NCQG), which falls under Article 9.3 of the Paris Agreement. While developed countries are expected to ‘take the lead’ in this effort, the agreed-upon targets of at least $300 billion annually by 2035 and a broader aim for $1.3 trillion per year refer to a combination of public and private funds.
“This approach effectively shifts the responsibility away from developed country governments to provide public finance, as originally intended under Article 9.1. Instead, it relies heavily on other sources, primarily private finance,” said Avantika Goswami, climate change programme lead at Delhi-based think tank Centre for Science and Environment.
Goswami noted that private finance was not accountable in the same way as public finance: There is limited ability to scrutinise, demand transparency, or track these funds. “It’s important to clarify that Article 9.1 pertains specifically to public finance mobilised by the governments of developed countries,” she said.
A senior official in the Union Ministry of Environment, Forest and Climate Change (MoEF&CC) echoed these concerns. “Finance discussions were not yet closed because they did not take care of the responsibility of developed countries as mentioned in Article 9.1. It doesn’t cover the entire architecture of the Paris Agreement, and at the same time, it is insufficient. Even if $300 billion is mobilised, it is insufficient,” the official said.
The official added that deploying new technologies would involve high additional costs for developing countries — costs that should be met through grants, not loans, under Article 9.1. “So, this story is still continuing, and it will be quite a significant discussion in COP30,” the official added.
Article 9.1 of the Paris Agreement states that developed countries “shall provide financial resources to assist developing countries” with mitigation and adaptation, reflecting their existing obligations under the UN climate convention.
To address the shortfall, the “Baku to Belém” roadmap was launched. India also pushed the issue during the June climate talks in Bonn, Germany, arguing that Article 9.1 had been neglected in recent years, which underscores the responsibility of developed countries to provide financial support to developing countries. “This core principle is often overlooked, and we believe it’s essential to bring it back to the center of the discussion,” the government official added.
We are attempting to include that in the finance discussion, with support from China and other like-minded developing countries, the official said. “In the latest SD session [UN climate webinar], it was decided that the Presidency will deliberate on this issue, and then they will report back before the beginning of the COP,” according to the official.
“Lack of progress on Article 9.1 is one of the foremost challenges related to climate finance. This is a global priority,” India said in the closing plenary of the Bonn conference.
“We need a serious discussion on Article 9.1. Without it, the G7 and other developed countries are effectively let off the hook—they face no real obligation to provide public climate finance. That cannot be allowed to stand,” Goswami said.
Developing nations need to form a unified strategy to advocate for this issue, focusing their efforts where it can have the most impact, she added. “The focus must remain on public finance commitments. We should not accept a framework that emphasises only private finance, especially when it’s unaccountable, lacks transparency, and cannot replace the responsibility of governments,” the climate expert said.
Queries sent to the COP30 president and the MoEF&CC remained unanswered at the time of publishing this story.
At the Bonn conference, India also raised concerns over unilateral trade measures such as carbon border adjustments, arguing that they contravened the UN climate convention’s principles of equity and “common but differentiated responsibilities and respective capabilities”.
Mitigation would only happen if the right enablers were in place: Finance, technology and capacity, the government official said. “If you do not address these, you do not get the expected outcome.”
To implement nationally determined contributions, countries require a clear strategy and adequate finance to cut emissions and adapt to climate impacts. For this reason, Brazil, the COP30 presidency, has emphasised reforming climate finance by involving multilateral development banks (MDB), Brazil’s ambassador to India, Kenneth da Nóbrega told this reporter in June 2025.
“MDBs must coordinate more closely to develop financial instruments that reflect today’s complex realities. Though distinct, their collaboration can enhance impact, manage risks, and ensure that financing remains both practical and sustainable,” he said.
On the scale of new finance, Nóbrega admitted the presidency had not set an exact target but said tough negotiations would be needed. “Developed countries bear a historical responsibility and have yet to fulfill their commitments. Years ago, they pledged to mobilise $100 billion, but have fallen short. While they often criticise developing countries for insufficient emissions reductions, they themselves have not done enough to meet their own obligations,” he said.
Adaptation is also expected to be a key focus for the COP30.