President Marcos signed into law the Loss and Damage Fund Board Act that will help the country push for climate change impact financing.
The Philippines was earlier selected to host the LDF Board after earning a spot in the body during the United Nations 28th Conference of Parties (COP28) in Dubai in December 2023.
The new law grants juridical personality and legal capacity to the LDF Board, a global finance mechanism to help vulnerable states dealing with the effects of climate change, to operate in the Philippines.
The board will also have the legal capacity to negotiate, conclude, and enter into a hosting arrangement with the World Bank as interim trustee and host of the global LDF secretariat.
“We are honored to have a seat on the Board itself, ensuring that the Philippines will be a formidable voice in promoting and advancing global climate action— an issue of critical interest to the country. Hosting the LDF Board reinforces our dedication to inclusivity and our leadership role in ensuring that the voices of those most affected by climate change shape the future of international climate policies,” Mr. Marcos said in July when the Philippines was chosen as LDF Board host.
For his part, Finance Secretary Ralph Recto said the Philippines is set to establish a gold standard for climate finance and action globally with the new law that enables its hosting of the LDF Board.
“The LDF Board Act is one of many decisive actions we take to escalate our climate initiatives and solidify the Philippines’ leadership in championing the voices of those most impacted by climate change. We are determined for our hosting to set the gold standard for climate finance and action, not just across Asia and the Pacific, but around the globe,” he said.
By hosting the LDF Board, the Philippines will play a leading role in helping attract significant support from developed countries and development partners to provide concrete financial contributions in averting, minimizing, and addressing losses and damages, Recto said.
“It will also serve as an avenue for the Philippines to showcase its game-changing initiatives, transformative reforms, and science-based innovations on adaptation and mitigation actions as well as disaster risk management aligned with its national plans and strategies,” he added.
The United Nations Office for the Coordination of Humanitarian Affairs earlier reported that in2023, at least 12,000 people died globally because of floods, forest fires, cyclones, storms, and landslides, representing a 30 percent increase compared to the figures recorded in 2022.
Developing countries are the most vulnerable on the list and bear a disproportionate burden in terms of experiencing the adverse impacts of climate change, including rising sea levels and extreme weather events.
According to the Intergovernmental Panel on Climate Change (IPCC), developing countries have 15 times more victims of natural disasters than developed countries.
As of March, at least $661 million was pledged to the Fund, led by France, Italy, Germany, and the United Arab Emirates which each committed $100 million or more.
Editor’s Note: This is an updated article. Originally posted with the headline: “Marcos signs Loss and Damage Fund Board law”
