The UN Environment Programme (UNEP) released the Adaptation Gap Report 2025, titled 'Running on Empty,' warning that the global finance gap for climate adaptation in developing countries has widened drastically. The report highlights that annual adaptation costs in developing nations could reach $300-500 billion by 2030.

International public adaptation finance flows to developing countries were US$26 billion in 2023 — far below what is needed. The report calls for a dramatic scaling up of adaptation finance, stronger integration of climate risk into national planning, and nature-based solutions. India, as one of the most climate-vulnerable countries, has emphasised the need for developed nations to meet their climate finance commitments under the Paris Agreement.