The Damage and Loss Fund was created at COP27 by the Framework Convention on Climate Change. At COP28, the fund's governance mechanism was created. This fund has been created to be hosted by the World Bank, who will also be its trustee. The fund structure was created without the basic elements of climate justice and is a donation-based fund. The financial flow received by the fund will be from annual donations for its operation and implementation. 

The annual cost of damage and loss worldwide has been estimated between 200 to 400 billion annually. This amount is projected to increase as the planet's temperature continues to rise. Below we have developed a graph to illustrate the scale of donations announced during COP28 relative to the funding need that exists. 

Donations COP28

2022 Disaster Cost: