The United States has formally withdrawn from the International Climate Loss and Damage Fund, a landmark initiative to compensate vulnerable nations for climate-related disasters, according to a Treasury Department letter obtained by KhabarAsia. The move, part of the Trump administration's broader retreat from global climate agreements, comes as multiple countries pledge increased contributions to address worsening environmental crises.
Established to support nations disproportionately impacted by climate change, the fund targets damages linked to industrial emissions from wealthier countries. Analysts warn the U.S. withdrawal undermines global cooperation ahead of critical UN climate talks. 'This sends a troubling signal during a record-breaking year for heatwaves and extreme weather,' said climate policy expert Dr. Anika Rao. The Treasury stated U.S. board members would resign immediately but did not address future funding obligations.
Meanwhile, China, EU members, and Southeast Asian nations recently announced expanded climate finance pledges. Observers note growing opportunities for green technology investments in Asia-Pacific markets, particularly in renewable energy and disaster-resilient infrastructure projects.
