At the UN climate summit in Egypt, leaders of developing nations have repeatedly said it’s not fair to expect them to cover the costs of rebuilding from devastating weather events in a warming world, plus invest in cleaner industry while they also pay much higher interest rates on loans than rich nations.
A plan put forward by Barbados Prime Minister Mia Mottley would overhaul the way much of development lending works. It is also giving voice to developing nations struggling under rising debt from climate damage.
Debt has been growing in developing countries, sapping funds for education, health and clean energy. Much of the increase in debt in some Caribbean countries is related to extreme storms, Mottley said in a recent essay. The plan would make it easier for countries in the Caribbean, Latin America, Africa and Asia to get funds to beef up defenses against warming and put off debt payments when disasters strike.
