Close to 200 countries are scheduled to negotiate a new climate finance target for the Global South at the U.N. Climate Change Conference, or COP29, in Baku, Azerbaijan, in November.
Dubbed the “Finance COP,” next month’s conference is expected to see focused discussions on a New Collective Quantified Goal on Climate Finance, or NCQG. It defines a new target for monetary support from historic emitters – mostly countries in the Global North – to address climate needs in poorer countries.
Surging climate needs
In 2009, countries including the United States and the European Union agreed to contribute $100 billion collectively each year by 2020, but an OECD report showed that they struggled to meet that goal over the years. Worse still, much of the climate finance came in the form of loans, which critics say have piled more pressure on developing countries already drowning in debt.
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The new negotiations come after a spate of extreme weather conditions intensified by human-caused climate change. July, for instance, witnessed the three hottest days ever recorded. Scientists said in an article on BioScience that as fossil fuel emissions reached an all-time high, the Earth is on track for 2.7 degrees Celsius warming by 2100, far above the 1.5 degrees Celsius target established in the 2015 Paris Agreement.
FILE – A municipal worker cools off next to a city fountain in Bucharest, Romania, July 11, 2024, as temperatures soared.
To combat the burgeoning crisis, developing countries will now need more than $100 billion a year, with estimates ranging up to $6 trillion by 2030. Even that does not sufficiently cover measures to adapt to already inevitable climate change, according to a 2021 U.N. report.
Conference host Azerbaijan in July launched the Climate Finance Action Fund with an initial goal of raising $1 billion from fossil-fuel producing countries and companies.
Nations are likely to reach a compromise at the lower end of a NCQG goal, according to Irene Monasterolo, professor of climate finance at the Utrecht University.
“These results of the negotiations may not be able to address the current need for climate finance in low-income countries, which are massively affected already now by climate risk,” Monasterolo told VOA. “The focus so far has been mostly on mitigation [reducing emissions] projects and measures, while adaptation investments are lagging behind.”
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Adaptation finance
While adaptation finance has gone up over the years, mitigation still accounts for the majority of current climate finance, the OECD report revealed. Monasterolo said the scale of adaptation finance ultimately depends on mitigation efforts.
“We don’t see bold plans for mitigation that would be needed to achieve the 1.5 degrees Celsius target, including the Global North. We have instead some issues of policy reversal and some major economies and polluting countries like the U.S. stepping back and in Europe,” she added.
“The science is clear. To limit global warming to below 2 degrees Celsius compared to pre-industrial times, we need to drop production, extraction, use of fossil fuels and related carbon activities and focus on renewables, and low-carbon activities should go up. But that’s not happening. In the latest geopolitical crisis, we increased our dependency on fossil fuels.”
The wars in the Middle East and Russia have put energy security at risk, according to the International Energy Agency. While a record high level of clean energy came online last year, emissions from the energy sector also broke records.
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Another reason for low adaptation finance, Monasterolo said, is the complexity of assessing climate risks. “We need to work on how to integrate forward-looking climate risk into investors and financial authorities’ models. Market-based approaches based on past data are a poor proxy of what could happen in the near future with ongoing climate change.”
Loss and damage fund
At COP28 in Dubai last year, countries agreed to set up a voluntary fund for historic emitters to pay for the damage caused by climate disasters in vulnerable developing countries. Western countries also called for large emitters like China to contribute. Negotiators are expected to continue the discussion at COP29.
FILE – In a display, water flows onto a sign for Energy Transition Changemakers at the COP28 U.N. Climate Summit, in Dubai, United Arab Emirates, Dec. 5, 2023.
For now, it remains unclear whether the loss and damage fund will be included in the new NCQG, according to Karoliina Hurri, researcher at the Center on Climate Politics and Security at the Finnish Institute of International Affairs.
The fund “is defined as voluntary, so it’s not based on the same categorization of developed and developing countries. … Some developed countries argue that the loss and damage fund is not part of the mandate and should be negotiated separately from this.”
Looming NDCs
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As countries are slated to declare new and more ambitious national green goals by February 2025, COP29 is expected to be a big push.
“I am afraid we won’t see ambitious enough NDCs [national determined contributions], but I think this is really important at this COP, especially the discussion of how to ensure the [recommended] outcomes of last year’s Global Stocktake, and the discussion about transitioning away from fossil fuels,” Hurri explained.
Hurri said many countries said they would lead by example to announce goals aligned with the 1.5 degrees Celsius warming goal. “But at the same time, nations can decide for themselves what the alignment means. This clarifies how difficult it is to reach the NDC.”
At COP28, countries signed a historic deal to start transitioning away from polluting fossil fuels. Hurri said, however, it remains to be seen how the phases translate into actions. “Do we see, for example, schedules of roadmaps on how this process is planned on the national level?”
Pivotal US election
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The U.S. election results could have a large impact on the implementation of potential negotiation results, including cooperation measures with the world’s biggest emitting nation, China, according to Hurri.
“I have not seen very detailed climate policy arguments from either of the candidates, although we know that they have very different views on climate change. … We know what happened last time during President [Donald] Trump’s term that the U.S. decreased financial contribution for climate,” she said.
COP29 will also mark the first cooperation talks between the new envoys from the United States and China — John Podesta and Liu Zhenmin. They had a working group meeting in Beijing in early September, in which they agreed to host a summit on methane and non-carbon greenhouse gases during the climate conference.
“While the U.S. election might not influence the cooperation at this year’s COP, the election outcome can have an influence on the credibility of their cooperation in the long term on a high level,” Hurri said.
Cornell University administrator Warren Petrofsky will serve as the Faculty of Arts and Sciences’ new dean of administration and finance, charged with spearheading efforts to shore up the school’s finances as it faces a hefty budget deficit.
Petrofsky’s appointment, announced in a Friday email from FAS Dean Hopi E. Hoekstra to FAS affiliates, will begin April 20 — nearly a year after former FAS dean of administration and finance Scott A. Jordan stepped down. Petrofsky will replace interim dean Mary Ann Bradley, who helped shape the early stages of FAS cost-cutting initiatives.
Petrofsky currently serves as associate dean of administration at Cornell University’s College of Arts and Sciences.
As dean, he oversaw a budget cut of nearly $11 million to the institution’s College of Arts and Sciences after the federal government slashed at least $250 million in stop-work orders and frozen grants, according to the Cornell Daily Sun.
He also serves on a work group established in November 2025 to streamline the school’s administrative systems.
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Earlier, at the University of Pennsylvania, Petrofsky managed capital initiatives and organizational redesigns in a number of administrative roles.
Petrofsky is poised to lead similar efforts at the FAS, which relaunched its Resources Committee in spring 2025 and created a committee to consolidate staff positions amid massive federal funding cuts.
As part of its planning process, the committee has quietly brought on external help. Over several months, consultants from McKinsey & Company have been interviewing dozens of administrators and staff across the FAS.
Petrofsky will also likely have a hand in other cost-cutting measures across the FAS, which is facing a $365 million budget deficit. The school has already announced it will keep spending flat for the 2026 fiscal year, and it has dramatically reduced Ph.D. admissions.
In her email, Hoekstra praised Petrofsky’s performance across his career.
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“Warren has emphasized transparency, clarity in communication, and investment in staff development,” she wrote. “He approaches change with steadiness and purpose, and with deep respect for the mission that unites our faculty, researchers, staff, and students. I am confident that he will be a strong partner to me and to our community.”
—Staff writer Amann S. Mahajan can be reached at [email protected] and on Signal at amannsm.38. Follow her on X @amannmahajan.
My spreadsheet reviewed a WalletHub ranking of financial distress for the residents of 100 U.S. cities, including 17 in California. The analysis compared local credit scores, late bill payments, bankruptcy filings and online searches for debt or loans to quantify where individuals had the largest money challenges.
When California cities were divided into three geographic regions – Southern California, the Bay Area, and anything inland – the most challenges were often found far from the coast.
The average national ranking of the six inland cities was 39th worst for distress, the most troubled grade among the state’s slices.
Bakersfield received the inland region’s worst score, ranking No. 24 highest nationally for financial distress. That was followed by Sacramento (30th), San Bernardino (39th), Stockton (43rd), Fresno (45th), and Riverside (52nd).
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Southern California’s seven cities overall fared better, with an average national ranking of 56th largest financial problems.
However, Los Angeles had the state’s ugliest grade, ranking fifth-worst nationally for monetary distress. Then came San Diego at 22nd-worst, then Long Beach (48th), Irvine (70th), Anaheim (71st), Santa Ana (85th), and Chula Vista (89th).
Monetary challenges were limited in the Bay Area. Its four cities average rank was 69th worst nationally.
San Jose had the region’s most distressed finances, with a No. 50 worst ranking. That was followed by Oakland (69th), San Francisco (72nd), and Fremont (83rd).
The results remind us that inland California’s affordability – it’s home to the state’s cheapest housing, for example – doesn’t fully compensate for wages that typically decline the farther one works from the Pacific Ocean.
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A peek inside the scorecard’s grades shows where trouble exists within California.
Credit scores were the lowest inland, with little difference elsewhere. Late payments were also more common inland. Tardy bills were most difficult to find in Northern California.
Bankruptcy problems also were bubbling inland, but grew the slowest in Southern California. And worrisome online searches were more frequent inland, while varying only slightly closer to the Pacific.
Note: Across the state’s 17 cities in the study, the No. 53 average rank is a middle-of-the-pack grade on the 100-city national scale for monetary woes.
Jonathan Lansner is the business columnist for the Southern California News Group. He can be reached at jlansner@scng.com
The up-and-coming fintech scored a pair of fourth-quarter beats.
Diversified fintech Chime Financial(CHYM +12.88%) was playing a satisfying tune to investors on Thursday. The company’s stock flew almost 14% higher that trading session, thanks mostly to a fourth quarter that featured notably higher-than-expected revenue guidance.
Sweet music
Chime published its fourth-quarter and full-year 2025 results just after market close on Wednesday. For the former period, the company’s revenue was $596 million, bettering the same quarter of 2024 by 25%. The company’s strongest revenue stream, payments, rose 17% to $396 million. Its take from platform-related activity rose more precipitously, advancing 47% to $200 million.
Image source: Getty Images.
Meanwhile, Chime’s net loss under generally accepted accounting principles (GAAP) more than doubled. It was $45 million, or $0.12 per share, compared with a fourth-quarter 2024 deficit of $19.6 million.
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On average, analysts tracking the stock were modeling revenue below $578 million and a deeper bottom-line loss of $0.20 per share.
In its earnings release, Chime pointed to the take-up of its Chime Card as a particular catalyst for growth. Regarding the product, the company said, “Among new member cohorts, over half are adopting Chime Card, and those members are putting over 70% of their Chime spend on the product, which earns materially higher take rates compared to debit.”
Today’s Change
(12.88%) $2.72
Current Price
$23.83
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Key Data Points
Market Cap
$7.9B
Day’s Range
$22.30 – $24.63
52wk Range
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$16.17 – $44.94
Volume
562K
Avg Vol
3.3M
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Gross Margin
86.34%
Double-digit growth expected
Chime management proffered revenue and non-GAAP (adjusted) earnings before interest, taxes, depreciation, and amortization (EBITDA) guidance for full-year 2026. The company expects to post a top line of $627 million to $637 million, which would represent at least 21% growth over the 2024 result. Adjusted EBITDA should be $380 million to $400 million. No net income forecasts were provided in the earnings release.
It isn’t easy to find a niche in the financial industry, which is crowded with companies offering every imaginable type of service to clients. Yet Chime seems to be achieving that, as the Chime Card is clearly a hit among the company’s target demographic of clientele underserved by mainstream banks. This growth stock is definitely worth considering as a buy.
