from the book ‘India’s Public Finance and Policy Challenges in the 2020s’
Part of the book series: India Studies in Business and Economics
This chapter reviews climate finance with a focus on adaptation, analysing existing studies and data on financial flows from developed to developing countries. It finds significant inconsistencies in the methods used to estimate financial needs and highlights a significant shortfall in the current adaptation funding for India. The study emphasises integrating adaptation with development priorities for sustainable outcomes. A comparative analysis across Indian states reveals that better disaster preparedness and higher adaptation spending are associated with improved health outcomes and reduced mortality. However, budget allocations often fall short of actual adaptation needs. The chapter also identifies key challenges, including fragmented methodologies, sectoral disconnects, limited private sector involvement, and insufficient funding for critical areas like health. It calls for standardised frameworks and better alignment of adaptation finance with developmental goals.