Fouad’s remarks came during a high-level roundtable entitled "Turning Ambition into Action: Increasing Adaptation Finance to Achieve the Global Goal on Adaptation," which was part of the COP29 Climate Change Conference events.

International reports have shown that climate change impacts and response plans burden the state budget heavily, Fouad said.

According to the 2023 report by the United Nations Economic Commission for Africa, the negative impact of climate change, especially on agriculture, energy, water, transportation, and ecosystems, is expected to cost African countries nearly 5 percent of their GDP annually.

These reports also indicate that the total cost of adaptation to climate change could exceed $300 billion annually by 2030.

More broadly, regarding developing countries’ financial needs, Fouad highlighted the latest reports from the United Nations Environment Programme, which assessed their adaptation needs at around $360 billion annually through 2030.

Challenges with implementing climate agenda
 

A few days earlier, during his speech at the COP29, Prime Minister Mostafa Madbouly stressed the financial challenges developing nations face in implementing the climate agenda, especially regarding loss and damage.

He highlighted the importance of grants and concessional loans, urging developed nations to lead in climate funding to prevent debt burdens on vulnerable economies.

He also highlighted that African countries are already dedicating up to 5 percent of their GDP to address climate change impacts, underscoring the need for stronger financial commitments from developed nations.

Adaptation is indispensable!
 

Meanwhile, Fouad indicated that adaptation is indispensable, with impacts extending to livelihoods and affecting living conditions more visibly than ever. She added that "adaptation" is an integral part of the global response to climate change, representing a top priority for developing countries, especially in Africa, where climate change directly impacts human life and all aspects of economic activity.

Meanwhile, she highlighted the need to elevate adaptation within all policy frameworks, integrate it with specific, measurable goals and sufficient financing to reduce loss and damage costs and enable developing countries to advance in climate mitigation.

The minister described COP29 as a unique opportunity to significantly shift climate adaptation by establishing strong, time-bound commitments to bridge the adaptation financing gap in developing countries.

She referenced COP27, which established funding arrangements to address climate-related loss and damage and launched the "Sharm El-Sheikh Adaptation Agenda." It set 30 global adaptation targets to accelerate progress across five key areas: food and agriculture, water and nature, coasts and oceans, human infrastructure, and settlements.

Key funding support
 

The minister praised the Green Climate Fund (GCF) and Adaptation Fund for their critical support to developing countries but noted that limited resources hinder their ability to scale successful projects.

Established in 2010 under the United Nations Framework Convention on Climate Change, the GCF is the world’s largest climate fund.

On 28 October 2024, the Egyptian Ministry of Environment announced that the GCF approved $2.687 billion to finance three major greening projects benefiting Egypt and other Global South countries.

These projects focus on greening financial systems, smart climate-resilient agriculture, and expanding climate-resilient water infrastructure.

In 2022, Egypt obtained around $300 million from the GCF, aimed at helping developing nations meet their climate change mitigation and adaptation objectives.

She also highlighted the role of multilateral development banks and their support for the agriculture and water management sectors.

The COP29 Climate Change Conference, held in Baku, Azerbaijan, from 11 to 22 November, brings together leaders from 200 countries, where negotiators must increase a $100 billion-a-year target for developing nations.