But to focus solely on whether the number is too big or too small misses what it means and why it matters. The agreement does not automatically produce any funds on its own, and no court can enforce it.

The headlines coming out of COP29—the recently concluded United Nations climate conference—focus on one key number: $300 billion . This is the annual amount of climate finance the governments of wealthy countries are responsible for generating for developing countries by 2035.

The headlines coming out of COP29—the recently concluded United Nations climate conference—focus on one key number: $300 billion. This is the annual amount of climate finance the governments of wealthy countries are responsible for generating for developing countries by 2035.

But to focus solely on whether the number is too big or too small misses what it means and why it matters. The agreement does not automatically produce any funds on its own, and no court can enforce it.

Wealthy countries will not provide most of the funds directly; the money will pass through entities like the World Bank, the Green Climate Fund, or even private companies. And the $300 billion number is not even the only climate finance goal to come out of COP29—the agreement also includes a target of $1.3 trillion per year in climate investment from all sources for developing countries by 2035.

As many have argued, the $300 billion goal is too small, and both it and the $1.3 trillion goal are riddled with ambiguities.