‘A form of crisis profiteering’ – report slams rich nations over climate loans

Rich countries, the main contributors to greenhouse gas emissions and climate change, have pledged to help poorer nations hit hardest by the crisis. But Oxfam says that most of this “aid” – about 65 percent – comes as loans with interest. © Wanan Yossingkum / Getty Images

Rich countries are pushing poorer nations further into debt by giving most climate aid as loans instead of grants, a report published on Monday warned. The money often ends up back in the pockets of donor countries while vulnerable nations struggle to respond to climate disasters.

The report, by the NGOs Oxfam and CARE, comes a month before the Cop30 UN climate summit in Brazil, where governments will debate how to raise 1.3 trillion dollars a year in climate finance by 2035.