Climate Finance Fails to Deliver: 5 Shocking Gaps in Global Pledges to Pakistan

Climate finance fails to deliver for Pakistan at a time when the country remains among the world’s most climate-vulnerable nations, facing recurrent floods, heatwaves, and environmental degradation. Despite repeated international commitments under global climate frameworks, the actual flow of funds to Pakistan has fallen drastically short of its real needs.

This stark reality was highlighted in Pakistan’s National Assembly, where lawmakers were informed that global climate pledges—particularly under the Loss and Damage Fund—have yet to translate into meaningful financial support on the ground.

Pakistan’s mounting climate damages and unmet promises

Pakistan has suffered unprecedented climate-induced disasters in recent years, including catastrophic floods that displaced millions, destroyed infrastructure, and wiped out livelihoods. The economic and human toll has been staggering, pushing the country deeper into vulnerability.

Yet, as climate finance fails to deliver, Pakistan continues to struggle with rebuilding efforts amid constrained fiscal space. According to government disclosures, international climate support has not kept pace with the scale of damage Pakistan has endured.

Internal link suggestion: Pakistan’s climate vulnerability and flood crisis

Loss and Damage Fund: pledges vs reality

Responding to a question raised by Nafisa Shah during Question Hour, Minister of State for Climate Change Dr Shezra Mansab Ali Khan Kharal told the National Assembly that only $250 million has so far been mobilised globally for the Loss and Damage Fund.

Out of this amount, merely $125 million has been earmarked for developing and least developed countries, including Pakistan—an amount widely seen as symbolic rather than sufficient.

Initial projections had estimated $87 billion in inflows for the fund, exposing a shocking gap between commitments and actual delivery. This gap reinforces the concern that climate finance fails to deliver where it is needed most.

National Assembly raises alarm over climate finance gap

During her address, Dr Kharal stressed that no country has faced climate losses on the scale Pakistan has, yet international support remains disproportionately low.

She informed lawmakers that Pakistan continues to raise the issue of fair, timely, and predictable climate finance at global platforms, particularly during COP climate negotiations, but progress remains frustratingly slow.

Why global climate finance mechanisms are stalling

Delays in operationalising climate finance instruments are not unique to Pakistan. According to the minister, many developing nations face similar obstacles due to:

• Slow donor disbursements
• Complex fund governance structures
• Lengthy project approval processes
• Political reluctance among major emitters

As climate finance fails to deliver, these systemic bottlenecks undermine trust between developed and developing nations and weaken global climate cooperation.

Pakistan’s response: task forces and project readiness

To address these challenges, Pakistan has established a dedicated Loss and Damage Task Force, working closely with international partners such as UNDP and UNICEF.

The task force is focused on preparing bankable, impact-driven projects that meet international financing standards. Dr Kharal informed the House that:

• Project development is underway
• Clear timelines have been established
• June 2026 is a key milestone for submissions

External link: UNDP Climate

Provincial involvement and equitable distribution

Ensuring equitable access to climate finance remains a priority. The minister confirmed that all provinces, including Balochistan, Khyber Pakhtunkhwa, and Punjab, are actively involved in:

• Identifying climate priorities
• Preparing project proposals
• Aligning local needs with national frameworks

This inclusive approach aims to prevent regional disparities and ensure that climate finance—when it does arrive—is deployed effectively.

Flood recovery and monsoon preparedness

Beyond funding gaps, Pakistan has continued rehabilitation efforts following recent floods, particularly in Punjab. Dr Kharal noted that monsoon preparedness is already underway to mitigate future risks.

A Prime Minister’s Task Force, comprising the Ministry of Planning, the Planning Commission, and the Ministry of Climate Change, is implementing integrated flood-risk interventions.

Internal link suggestion: Pakistan’s monsoon

Climate finance and Pakistan’s updated NDCs

The issue of climate finance is also deeply linked to Pakistan’s updated Nationally Determined Contributions (NDCs) under the Paris Agreement.

Technical-level consultations are ongoing, with ministerial-level decisions expected to follow. However, experts warn that ambitious NDCs without reliable financing could further strain developing economies like Pakistan.

External link: Paris Agreement and NDCs – UNFCCC

The widening trust deficit in global climate action

As climate finance fails to deliver, a widening trust deficit is emerging between developed and developing nations. Repeated announcements without follow-through risk turning climate diplomacy into an exercise in rhetoric rather than action.

Pakistan’s case underscores a broader global failure—where those least responsible for emissions bear the heaviest burden, while promised support remains elusive.

Way forward: turning pledges into delivery

Experts argue that restoring confidence in global climate action requires:

• Faster operationalisation of funds
• Transparent allocation mechanisms
• Predictable multi-year financing
• Accountability for unmet pledges

For Pakistan, sustained advocacy, project readiness, and regional cooperation remain critical—but without genuine global commitment, climate resilience efforts will remain underfunded.