By: Momodou Habib Bah, Universitaa Islam Internsional Indonesia
In December 2023, the UAE hosted COP28, where the Conference of Parties under the UNFCCC agreed to establish a new funding mechanism called the Loss and Damage Fund to assist developing countries vulnerable to extreme weather events and slow-onset events, particularly the Small Island Developing States and the Least Developed Countries. This fund was established with the aim to help countries recover from economic and non-economic losses caused by climate-related disasters. According to the UNFCCC website, the funding, currently totaling $661 million, is pledged by 18 big polluter Nations and the European Commission.
The term “loss and damage” refers to the adverse effects caused by extreme weather events and slow-onset events, leading to various economic and non-economic damages such as the loss of lives and livelihoods, destruction of infrastructure, loss of properties and crops, and depletion of ecosystems. Despite contributing less than 0.01% of greenhouse gas emissions, The Gambia being a developing nation and part of the Least Developed Countries is one of the most vulnerable nations. The country has experienced unprecedented frequency and intensity of extreme weather and slow-onset events, including recurrent floods, windstorms, droughts, heat waves, and sea-level rise. In 2011, the country went through its worst drought in history. Touray & Jammeh, (2015) highlighted that the insufficient rainfall resulted in a 50% reduction in crop yield, and child malnutrition rose by 11.4% in the rural making the government declare a Crop Failure Emergency. The 2021 windstorm disaster was also very severe, while the flood in 2022 turned out to be the most devastating disaster, claiming 11 lives, displacing thousands of people, and contributing to significant economic impacts. The flood impact assessment estimates direct damages of $82.8 million, including damages to buildings, contents, and agriculture. Sea-level rise has also contributed to coastal erosion, loss of beaches, and saltwater intrusion around the coastal communities; impacting the vital sectors of Agriculture and Tourism in The Gambia. These extreme events further exacerbate the Gambia’s current challenges such as poverty, food insecurity, migration, and crime rates.
Although the Gambian government and its development partners have made considerable efforts to address these challenges by investing in mitigation, adaptation, and resilience initiatives, the country still faces major constraints in reducing climate-related disasters due to limited capacity, poor technological advancement, and insufficient financial resources hampering its adaptation capabilities.
A report from the United Nations Environment Program (UNEP) suggests that an annual financial commitment between $250 billion and $387 billion will be required to address the impacts of climate change in vulnerable countries throughout this decade. Despite the availability of some funding from entities like the Green Climate Fund (GCF), Global Environment Facility (GEF), and Adaptation Fund (AF), accessing these funds remains difficult for The Gambia and many other developing nations due to the complex requirements, bureaucratic and lengthy processes to secure funding. However, the establishment of the Loss and Damage Fund offers hope for these countries.
Many developing nations, particularly the Alliance of Small Island States (AOSIS), have expressed concerns about the World Bank serving as the fund’s host. Nevertheless, it is worth noting that the World Bank will only act as the interim host for four years.
The availability of the Loss and Damage Fund will enable The Gambia to address both economic and non-economic losses, The Gambia can work towards building a more sustainable and resilient future for its citizens. The funds can be invested in rebuilding infrastructure there were damage as a result of climate change, restoring livelihoods, restoring the ecosystem, and implementing adaptive measures to reduce the severity associated with climate-induced disasters. In addition, the country could use the funds to promote smart agriculture, promote community-based adaptation, improve coastal resilience, and compensate communities facing extreme events
Moreover, the country can utilize the Loss and Damage Fund and invest in disaster risk reduction, and early warning systems. Investing in DRR and Early Warning System technologies will allow the country to anticipate future events, prepare, and respond to possible climate risks which will minimize losses. The fund will also improve climate information, helping to provide accurate data to the government, farmers, and other stakeholders to allow them to make informed decisions. This will enhance the country’s resilience and preparedness against climate-related disasters.
Finally, Capacity building is key to building resilience. the loss and damage fund will be an important resource for the country to strengthen its capacity terms of planning and responding to climate-related risks and disasters. Training programs and knowledge-sharing mechanisms should be implemented to enhance the Gambia’s resilience against climate change.
While this fund holds a great opportunity for the Gambia, it is important to emphasize that stringent monitoring and evaluation measures must be implemented to track the spending progress. Therefore, implementing the business unusual approach as suggested by the LIFE AR will be quite useful. That way we can ensure that the loss and damage funds reach the communities that bear the brunt of climate-induced disasters.
In conclusion, the establishment of the Loss and Damage financial mechanisms offers a promising opportunity for The Gambia to address the devastating impacts of extreme weather events and bridge the adaptation gaps. Through investment in infrastructure, capacity building, Disaster Risk Reduction, and Early Warning Systems, The Gambia can strengthen its resilience, mitigate the effects of climate-induced disasters, and pave the way for a more sustainable future. Meanwhile, a robust M&E framework could play a significant role in making sure that the fund reaches the vulnerable.
