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Other Working Papers
Abstract:
This paper examines the recent commitment by developed countries to allocate
$100 billion per year for climate change adaptation and mitigation in developing
countries. It does so by drawing lessons from the experience of official development
assistance. The results of this analysis suggest that a climate funding regime,
as currently proposed, fails to avoid many of the problems faced by the existing
foreign aid regime. In some cases, the development of parallel structures for climate
funding and aid exacerbates existing difficulties, and the failure to integrate
development and climate funding foregoes the possibility of significant synergies.
An alternate proposal is advanced that seeks to (1) avoid duplication by utilizing
existing structures; (2) ensure additionality of funding; (3) measure success by outcomes
rather than inputs; and (4) harness the potential of issue linkage between
development and climate mechanisms to create incentives for developed states to
carry out their commitments toward their developing country counterparts.
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