Addressing Loss And Damage: Insights On The Fund And The Global Shield

Climate change is wreaking havoc on human lives, livelihoods and well-being in the world’s most vulnerable countries and communities. After decades of little to no progress, the agenda for loss and damage finance has shifted considerably in the past 12 months, with the announcement and launch of two major initiatives that aim to address aspects of this challenge. One is the Loss and Damage Fund agreed to at COP27, which has emerged from within the UNFCCC; the other is the Global Shield against Climate Risks, a joint G7 and V20 initiative.

This insight paper aims to improve the reader’s understanding of these two initiatives and provide insights into how thy may relate to each other, including possibilities for complementarity, and underlying tensions.