Fair access to climate finance remains an issue of heated arguments between developed and developing countries. While developed nations bear historical responsibility for emissions, industrializing countries have rapidly increased their fossil fuel consumption. Despite international commitments, critical agreements—such as the $100 billion annual climate finance pledge and Adaptation Fund replenishment—remain unrealized. In this context, the Paris Agreement’s "new collective quantified goal on climate finance" (NCQG) should be adopted in 2024 to secure resources for all actions, including loss and damage, with integrated tracking mechanisms.
Going beyond states, the international climate response has often neglected key actors for climate action. A decade-long analysis of Official Development Assistance (ODA) for climate change revealed that less than 1% of climate finance reached Indigenous Peoples, Local Communities, and Afro-descendants (IP, LC, & AD). Over half of that limited funding was channeled through intermediaries, leaving minimal resources for direct implementation. Large intermediaries like UN agencies and major NGOs dominate funding flows, with IP, LC, & AD groups receiving only small sub-grants.
To shift power dynamics in climate action, communities must be part of the decision-making process. Territorial Funds, emerging across tropical countries, aim to enable such shifts. Territorial Funds prioritize community-led approaches, leveraging strong relationships to create lasting impacts. Women are crucial in transforming climate finance, managing most of the analyzed cases.
Based on approximately 40 interviews with leaders, partners, and funders of Territorial Funds, this ongoing research is conducted in partnership with platforms of Indigenous Peoples Organizations. This paper focuses on women’s leadership within these new institutions. The discussion will also highlight women's barriers to protecting their rights and explore how Territorial Funds can help overcome these challenges. By placing women at the center of decision-making—allocating grants and directing resources—Territorial Funds can leverage strong, community-driven relationships to create lasting impact.
