The Board of the Fund for responding to Loss and Damage (FRLD) held its sixth meeting (B.6) in Cebu, Philippines, from 7-9 July 2025. After establishing the “Barbados Implementation Modalities” (BIM) at the fifth meeting in April 2025, the Board is now expected to adopt the relevant policies to operationalize this start-up phase of the FRLD. The BIM has been allocated a total of USD 250 million for 2025-2026, with a first set of interventions ranging from USD 5-20 million expected to be approved by the Board in 2026.
The BIM will support bottom-up, country-led, and country-owned approaches to loss and damage (L&D) that promote and strengthen national responses, with financed activities, projects, and programmes representing the full scope of the FRLD.
During B.6, the Board extensively discussed a framing proposal for eligible activities and funding criteria, as well as a proposal for a project/programme cycle for the BIM, based on inputs developed by the Secretariat. While the proposal for eligible activities was faithful to the scope of activities defined in the Governing Instrument, and was largely acceptable to the Board, the discussion around the proposal for the funding criteria saw strong concerns from developing country Board Members who found that the proposed criteria would create significant barriers for developing countries to submit funding proposals and access the FRLD.
Similarly, the discussions on the framing proposal for the project/programme cycle faced concerns by Board Members, particularly those from developing countries, stating that more details and clarity were needed on how each phase of the cycle was to be implemented, by whom, and following what timelines for each phase.
The Board ultimately adopted a decision that took note of the state of the BIM document that the Board had been discussing and working on, as well as the oral and written comments made by the Board during the meeting. The Secretariat was also requested, under the guidance of the Co-Chairs, to continue consultations on the BIM document on the basis of the same document, the views expressed by the Board at B.6, and through open, inclusive, and transparent consultations with the Board. An updated document shall be presented to the Board for consideration and adoption at B.7, which will take place in October 2025, in the Philippines.
Developing countries are now able to designate a national authority or national focal point to the FRLD. At B.6, the Board adopted a decision that gives guidance for the FRLD focal points to apply to both national designated authorities and national focal points. The Secretariat was requested to provide focal points with relevant background and guidance to facilitate their entry into their roles, as well as to maintain regular communication with them.
The FRLD, in its Governing Instrument, is uniquely different from other multilateral climate funds in that it allows countries to directly access funding via direct budget support through national Governments. When the COP and CMA invited the World Bank to host the FRLD as a financial intermediary fund, both bodies set out a list of conditions that the World Bank had to meet in order to serve as the host on an interim period. Decisions 1/CP.28 and 5/CMA.5, in paragraph 20(e), stated that the World Bank must “[allow] all developing countries to directly access resources from the Fund”.
Direct budget support is a key access modality that many developing countries have called for in the context of the FRLD. In this regard, the Board adopted a decision at B.6 requesting the Co-Chairs, with the assistance of the Secretariat, to engage with the World Bank as interim Trustee to identify the approach to facilitating direct access via direct budget support, both during the BIM and in the long-term operation of the FRLD.
The Co-Chairs have also been requested to explore and present to the Board at B.7 options for possible arrangements for direct access via direct budget support.
At B.3, the Board decided to finalize the resource mobilization strategy by the end of 2025. At every meeting, the developing country Board Members have constantly mentioned the importance of defining the long-term resource mobilization for the FRLD, in line with their vision that the FRLD must operate at the scale to respond to the losses and damages that developing countries are facing and will continue to face as result of climate change.
At B.6, the Board adopted a procedural decision reaffirming the workplan adopted at B.2, and requesting the Secretariat to prepare a draft long-term resource mobilization strategy and plan through an inclusive and iterative consultation process with the Board, to be presented for consideration by the Board by B.7.
The Board is expected to continue and conclude its deliberations on the operational elements for the BIM at the upcoming seventh meeting in October 2025. The primary focus for B.7 will be on considering and adopting the following:
If the Board agrees on the policies for the BIM, including the project/programme eligibility and funding criteria, as well as the project/programme cycle at B.7, a call for proposals or funding requests would be made for countries to submit for review by the Secretariat.
The Board of the Fund for responding to Loss and Damage (FRLD) held its sixth meeting (B.6) in Cebu, Philippines, from 7-9 July 2025. After establishing the “Barbados Implementation Modalities” (BIM) at the fifth meeting in April 2025, the Board is now expected to adopt the relevant policies to operationalize this start-up phase of the FRLD. The BIM has been allocated a total of USD 250 million for 2025-2026, with a first set of interventions ranging from USD 5-20 million expected to be approved by the Board in 2026.
The BIM will support bottom-up, country-led, and country-owned approaches to loss and damage (L&D) that promote and strengthen national responses, with financed activities, projects, and programmes representing the full scope of the FRLD.
During B.6, the Board extensively discussed a framing proposal for eligible activities and funding criteria, as well as a proposal for a project/programme cycle for the BIM, based on inputs developed by the Secretariat. While the proposal for eligible activities was faithful to the scope of activities defined in the Governing Instrument, and was largely acceptable to the Board, the discussion around the proposal for the funding criteria saw strong concerns from developing country Board Members who found that the proposed criteria would create significant barriers for developing countries to submit funding proposals and access the FRLD.
Similarly, the discussions on the framing proposal for the project/programme cycle faced concerns by Board Members, particularly those from developing countries, stating that more details and clarity were needed on how each phase of the cycle was to be implemented, by whom, and following what timelines for each phase.
The Board ultimately adopted a decision that took note of the state of the BIM document that the Board had been discussing and working on, as well as the oral and written comments made by the Board during the meeting. The Secretariat was also requested, under the guidance of the Co-Chairs, to continue consultations on the BIM document on the basis of the same document, the views expressed by the Board at B.6, and through open, inclusive, and transparent consultations with the Board. An updated document shall be presented to the Board for consideration and adoption at B.7, which will take place in October 2025, in the Philippines.
Developing countries are now able to designate a national authority or national focal point to the FRLD. At B.6, the Board adopted a decision that gives guidance for the FRLD focal points to apply to both national designated authorities and national focal points. The Secretariat was requested to provide focal points with relevant background and guidance to facilitate their entry into their roles, as well as to maintain regular communication with them.
The FRLD, in its Governing Instrument, is uniquely different from other multilateral climate funds in that it allows countries to directly access funding via direct budget support through national Governments. When the COP and CMA invited the World Bank to host the FRLD as a financial intermediary fund, both bodies set out a list of conditions that the World Bank had to meet in order to serve as the host on an interim period. Decisions 1/CP.28 and 5/CMA.5, in paragraph 20(e), stated that the World Bank must “[allow] all developing countries to directly access resources from the Fund”.
Direct budget support is a key access modality that many developing countries have called for in the context of the FRLD. In this regard, the Board adopted a decision at B.6 requesting the Co-Chairs, with the assistance of the Secretariat, to engage with the World Bank as interim Trustee to identify the approach to facilitating direct access via direct budget support, both during the BIM and in the long-term operation of the FRLD.
The Co-Chairs have also been requested to explore and present to the Board at B.7 options for possible arrangements for direct access via direct budget support.
At B.3, the Board decided to finalize the resource mobilization strategy by the end of 2025. At every meeting, the developing country Board Members have constantly mentioned the importance of defining the long-term resource mobilization for the FRLD, in line with their vision that the FRLD must operate at the scale to respond to the losses and damages that developing countries are facing and will continue to face as result of climate change.
At B.6, the Board adopted a procedural decision reaffirming the workplan adopted at B.2, and requesting the Secretariat to prepare a draft long-term resource mobilization strategy and plan through an inclusive and iterative consultation process with the Board, to be presented for consideration by the Board by B.7.
The Board is expected to continue and conclude its deliberations on the operational elements for the BIM at the upcoming seventh meeting in October 2025. The primary focus for B.7 will be on considering and adopting the following:
If the Board agrees on the policies for the BIM, including the project/programme eligibility and funding criteria, as well as the project/programme cycle at B.7, a call for proposals or funding requests would be made for countries to submit for review by the Secretariat.
