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<p>Loss and Damage (L&amp;D) has emerged as a critical pillar of global climate action, supported by an emerging, dedicated financing stream. While the scale of L&amp;D financing is far below what may be required, fundamental questions remain about how this financing can effectively minimise losses and damages at local climate frontlines. Recognising the limits of past and ongoing adaptation efforts, this paper examines the role of emerging L&amp;D finance beyond risk management or reduction in transforming systems that predispose vulnerable groups to losses and damages. Drawing on empirical research from local cases in three climate frontline countries, Bangladesh, Nepal, and Vanuatu, we explore how L&amp;D financing can go beyond risk reduction or compensation to address structural vulnerabilities and deliver climate justice. Findings reveal gaps, as current adaptation and disaster risk reduction efforts fail to build systems capacity and prevent escalating, irreversible, and unavoidable losses and damages. Given the systemic nature of climate impacts, increasing financial flows alone does not guarantee a reduction in losses and damages unless funds are directed toward dismantling systemic barriers that predispose communities to losses and damages. The paper argues that L&amp;D finance must support more systemic or transformational responses, such as planned relocation, cultural restoration, and gender-responsive interventions, while ensuring local ownership and embedding equity and accountability in governing the finance. We call for a fundamental shift in thinking about how we design global-to-local finance architecture, emphasising the need for anticipatory, participatory, and justice-oriented approaches.</p>

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Loss and damage financing for climate justice and transformation: local insights from the climate frontline

  • 期刊论文

  • 出版模式：

    开放获取

  • 发表日期：

    2026年3月10日

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  • Hemant Ojha,
  • Nazifa Rafa,
  • Basundhara Bhattarai,
  • Purnima Banjade,
  • Christopher Bartlett,
  • Kishor Aryal,
  • Kenisha Shrestha,
  • Priyanka Gurung,
  • Nusrat Naushin,
  • Towrin Zaman,
  • Bhim Adhikari,
  • Nani Sujakhu,
  • Prabin Man Singh

摘要

Loss and Damage (L&D) has emerged as a critical pillar of global climate action, supported by an emerging, dedicated financing stream. While the scale of L&D financing is far below what may be required, fundamental questions remain about how this financing can effectively minimise losses and damages at local climate frontlines. Recognising the limits of past and ongoing adaptation efforts, this paper examines the role of emerging L&D finance beyond risk management or reduction in transforming systems that predispose vulnerable groups to losses and damages. Drawing on empirical research from local cases in three climate frontline countries, Bangladesh, Nepal, and Vanuatu, we explore how L&D financing can go beyond risk reduction or compensation to address structural vulnerabilities and deliver climate justice. Findings reveal gaps, as current adaptation and disaster risk reduction efforts fail to build systems capacity and prevent escalating, irreversible, and unavoidable losses and damages. Given the systemic nature of climate impacts, increasing financial flows alone does not guarantee a reduction in losses and damages unless funds are directed toward dismantling systemic barriers that predispose communities to losses and damages. The paper argues that L&D finance must support more systemic or transformational responses, such as planned relocation, cultural restoration, and gender-responsive interventions, while ensuring local ownership and embedding equity and accountability in governing the finance. We call for a fundamental shift in thinking about how we design global-to-local finance architecture, emphasising the need for anticipatory, participatory, and justice-oriented approaches.