Although COP29 was dubbed the “Finance COP,”  discussions also tackled other critical issues, including adaptation and loss and damage (L&D), which is essential for helping vulnerable nations cope with the devastating effects of climate change and secure support for the damages they have already suffered. COP29 made progress in both areas, particularly in relation to the Global Goal on Adaptation (GGA) and the operationalization of the Fund for Responding to Loss and Damage (FRLD). 

Key Outcomes on Adaptation and Climate Finance at COP29 

The UAE Framework for Global Climate Resilience, agreed at COP28, outlined seven thematic targets and four iterative adaptation cycle targets to track global progress on adaptation. However, Parties did not finalize the indicators to measure this progress and agreed to determine them at COP30. At COP29, Parties decided that there should be no more than 100 indicators, which should be globally applicable and cover diverse adaptation contexts.  

COP29 also established the Baku Adaptation Roadmap, which is designed to guide the implementation of the UAE Framework, and the Baku High-Level Dialogue on Adaptation, a platform intended to facilitate action on adaptation at future COPs.   

One of the landmark decisions at COP29 was on the New Collective Quantified Goal (NCQG) for climate finance. Following the decision made at COP21 to set a floor of U.S. $100 billion per year in climate finance, COP29 raised the target to U.S. $300 billion per year by 2035. In addition, COP29 established the Baku to Belém Roadmap to U.S. $1.3 Trillion to guide financial flows from public and private sources. These discussions recognized the importance of aligning financial support with GGA and the UAE Framework targets, an important step toward meeting the financial needs of developing countries that have long advocated for greater resources to implement the GGA. 

Transformational Adaptation proved to be a contentious issue at COP29. While some Parties were reluctant to address transformational adaptation, fearing it would impose new conditions for accessing finance, others argued that incremental adaptation would be insufficient to deal with the growing scale of climate impacts. Parties reached a compromise by deciding to publish a reader-friendly summary of the transformational adaptation report created by the Secretariat before COP29 by April 2025. This reflects a growing recognition that, while incremental adaptation is necessary, a shift toward more transformative approaches is essential for long-term resilience. 

Addressing L&D: Steps Toward Operationalizing the Fund for Operationalizing Loss & Damage  (FRLD) 

At COP29, Parties took important steps towards fully operationalizing the FRLD. The World Bank formalized its role as a host organization for the fund. The FRLD aims to begin disbursing finance to vulnerable developing countries in 2025, though much of the groundwork remains to be done.  

The inclusion of the private sector in discussions around L&D was notably limited at COP29. While private sector engagement is seen as essential for mobilizing additional resources, progress on this front was slow. As the FRLD becomes operational in 2025, Parties and the FRLD Board will need to explore how to better engage the private sector to support these efforts. 

Laying the Groundwork for Future COPs 

The decisions taken at COP29 in Baku reflect the growing recognition of the need for robust financial mechanisms, more effective adaptation strategies, and a comprehensive approach to loss and damage (L&D)  each of which will be critical to the success of international climate action, as these issues are interlinked.  

Adaptation efforts were advanced through the progress on the Global Goal on Adaptation, emphasizing the need for tailored, context-specific strategies. Additionally, the finalization of the arrangements of the FRLD marks a critical step towards supporting countries in their L&D efforts. These efforts not only contribute to global climate resilience but also highlight the importance of collective responsibility, equity, and climate financing.  

As the impacts of climate change intensify, the progress made at COP29 on adaptation and loss & damage will matter because it sets the stage for addressing the most immediate needs of the most vulnerable, ensuring that no one is left behind in the transition to a more resilient and sustainable world. Moving forward, the outcomes of future COPs, especially COP30, will be a critical test of whether global political will and financial support can align to deliver on promises made.