African nations have been left in uncertainty after the United States announced its immediate withdrawal from the Fund for Responding to Loss and Damage (FRLD).
The fund was created in November 2024 through a global agreement where developed nations pledged financial support to help developing countries recover from the devastating effects of climate change.
In an official letter addressed to Jean Christophe Donnellier, the Developed Country Co-Chair of the FRLD, Rebecca Lawlor, Deputy Director at the US Office of Climate and Environment, confirmed that the US would no longer be part of the fund.
She further stated that both the US Board Member and the alternate representative would resign and would not be replaced.
“On behalf of the United States Department of the Treasury, I am informing you that the United States is officially withdrawing from the Board of the Fund for Responding to Loss and Damage, effective immediately,” Lawlor stated in the letter.
“Both the United States Board Member and the United States Alternate Board Member will be stepping down and will not be replaced by another US representative.
As per the rules of procedure, please communicate this change to the secretariat,” she added.
As of January 23, developed countries had collectively pledged $741 million (Ksh95 billion) to the fund, according to UN data.
The US had initially committed $17.5 million (Ksh2 billion), but it remains unclear whether it will fulfill this pledge following its withdrawal.
What This Means for Kenya
With the US pulling out of the fund, Kenya is now at risk of receiving less financial aid for climate disaster recovery and adaptation programs.
This could have serious economic consequences, particularly for Kenya’s agriculture and tourism sectors, which are highly vulnerable to climate change.
The withdrawal also comes at a time when Kenya is experiencing severe climate-related challenges, with 1.5 million Kenyans facing hunger due to prolonged droughts and unpredictable weather patterns.
The financial support from the FRLD was meant to assist developing nations in dealing with such crises, and the US’s exit could make it harder for Kenya to access crucial funds.
African Leaders React to US Exit
Following the announcement, the African Group of Negotiators (AGN), a coalition representing African nations in UN climate discussions, strongly criticized the US decision.
Ali Mohammed, the AGN Chairman, expressed deep disappointment, stating that the US, as the world’s largest historical contributor to climate change, was turning its back on the nations suffering the most.
“This decision by the United States, a country with the greatest historical responsibility for climate change, puts the survival of vulnerable nations at risk. It threatens critical funding meant to help countries already facing devastating and irreversible climate impacts,” Mohammed told PTI.
Background of the Climate Fund
The Fund for Responding to Loss and Damage was established after years of intense advocacy by developing nations struggling with climate-related disasters. After prolonged negotiations, world leaders officially agreed to create the fund during the UN Climate Summit held in Sharm El-Sheikh, Egypt, in 2022.
The fund was set to become fully operational on January 1, 2025, following decisions made at COP29 in Baku in 2024. At this meeting, Kenya was represented by Prime Cabinet Secretary Musalia Mudavadi.
Before the US withdrawal, African countries had secured Ksh167 trillion from the fund to help tackle climate-related challenges.
However, with one of the biggest contributors pulling out, the future of the fund and the financial support it was supposed to provide now hangs in the balance.
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