Ensuring Equitable Access to Climate Finance for Local Communities: Opportunities Post-NCQG at COP29

As COP29 concludes with optimism surrounding the attainment of an ambitious New Collective Quantified Goal (NCQG) on climate finance, a pressing question emerges: how do we ensure that these financial resources reach local communities equitably and effectively? The NCQG, anchored in Article 2 of the Paris Agreement, aims to accelerate climate action in the context of sustainable development and poverty eradication by aligning global financial flows with climate goals. However, achieving these objectives demands a deliberate focus on empowering local actors and creating systems that promote transparency, inclusivity, and ease of access. 

Strengthening Local Capacities 

Local communities often face challenges in navigating the complexities of climate finance, which hinders their ability to engage in climate action fully. Simplifying climate justice language and building long-term capacity at the national and sub-national levels are essential steps. By equipping communities with the tools to identify, prioritize, implement, and monitor climate actions, we can empower them to drive localized solutions. Capacity-building efforts must include training programs, technical support, and resource accessibility to ensure inclusivity across marginalized and vulnerable populations, including women, youth, and indigenous groups. 

Establishing Inclusive Policies and Frameworks 

Robust policies at the national and local levels play a pivotal role in guiding climate finance distribution. Governments should adopt comprehensive frameworks such as Nationally Determined Contributions (NDCs), climate adaptation plans, and gender action plans, ensuring that these policies trickle down to the community level. For instance, Kenya’s county government climate policies illustrate how devolved systems can enhance local access to climate funds, fostering community-driven planning and financing. 

Prioritizing Locally Relevant Results 

Climate finance should emphasize outcomes that resonate with community needs. Funds like the Adaptation Fund and the Least Developed Countries Fund set an example by using indicators for household-level resilience and vulnerability to climate change. Aligning funding with locally defined priorities ensures relevance and amplifies the impact of interventions. 

Simplifying Access and Approval Processes 

One of the most significant barriers to local climate finance access is the complexity of funding procedures. Simplified frameworks, demonstrate how reducing bureaucratic hurdles can enable communities with limited experience to access funds. Site visits and third-party monitoring can further build trust and confidence among funders and recipients. 

Promoting Participatory Funding Structures 

Participatory funding models, such as the GEF Small Grants Programme, highlight the importance of engaging local stakeholders in the design, appraisal, and evaluation of climate projects. Strengthening collaboration with subnational governments, civil society organizations, and micro-enterprises ensures that diverse voices are included in decision-making processes. Special attention must be given to marginalized groups to ensure their active participation in shaping climate finance strategies. 

Decentralized decision-making is key to driving locally led climate action. By empowering communities to take ownership of climate projects, funds can ensure that resources are allocated where they are needed most. Simplifying project accreditation procedures and providing resources inaccessible, locally relevant languages further enhances inclusivity and efficiency. 

Enhancing Transparency and Accountability 

To build trust in the climate finance architecture, it is essential to improve the predictability, transparency, and accountability of financial flows. Regular, timely, and transparent reporting on data promotes coordination, mutual learning, and trust among stakeholders. Climate finance providers must align with the Paris Agreement reporting requirements and continuously enhance the clarity of their disbursements. 

Looking Ahead 

As we move beyond COP29, ensuring that the ambitious NCQG translates into tangible benefits for local communities will require a collective commitment to equity, accessibility, and sustainability. By prioritizing capacity building, inclusive policies, participatory structures, and transparent processes, the global climate finance system can evolve into a model that genuinely supports those on the frontlines of the climate crisis. The road ahead is challenging, but with the right strategies, the NCQG can become a transformative force for climate justice at the local level. 

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This article has been Co-authored by Anne Tek, Climate Justice Coordinator at FEMNET, and Dianarose Odhiambo, Communications Officer – FEMNET.