World Bank Appointed Host To Loss and Damage Fund

By Faridat Salifu

The Transition Committee on Loss and Damage, which met for the fifth time a few days ago, has come to a consensus that aligns with US policy, as it agreed that the World Bank will “provisionally” serve as the home of the new Climate Loss and Damage Fund.

This is coming after several broken talks between the leading nations and developing countries on who is to fund the Loss and Damage.

The Transitional Committee wrapped up its fifth and final meeting in Abu Dhabi, United Arab Emirates, two weeks after the negotiations in Egypt broke down with a shaky accord.

With the United States of America and the European Union chosen to host the new Climate Change Loss and Damage Fund at the World Bank, a number of observers emerged just before the fifth meeting of the Transition Committee on Loss and Damage.

There were fears of the BRICS expanding its territories by admitting more African Countries to its fold, a decision that is perceived to likely break the power hold of the global north on the African continent.

It was gathered that as the BRICS group expands to include Egypt, Ethiopia, Saudi Arabia, Argentina, the United Arab Emirates (UAE), and Iran, this tendency is expected to pick more speed.

This is even so as several Southern nations are looking to replace the World Bank and IMF with the New Development Bank (NDB), which was put forth by the BRICS (Brazil, Russia, India, China, and South Africa).

During recent international events, the global south nations have called for extensive reform of the Bretton Woods institutions, particularly the International Monetary Fund (IMF), though thus far without success.

Earlier, there were also contentions in the issue of climate change loss and damage as to which countries are eligible to participate.