UN Warns of Urgent £200 Billion Funding Shortfall to Combat Global Land Degradation

Chris Palmer, Climate Reporter
5 Min Read
⏱️ 4 min read

The United Nations has issued a stark warning that a staggering £200 billion increase in funding is essential to address the escalating crisis of land degradation worldwide. Currently, only £56 billion is being mobilised annually, leaving a massive shortfall as nations grapple with the consequences of desertification, which threatens food security, drives forced migration, and exacerbates conflict. Yasmine Fouad, the Executive Secretary of the UN Convention to Combat Desertification (UNCCD), emphasised that immediate and innovative financial solutions are vital to avert a looming disaster.

The Funding Crisis

According to recent assessments by the UNCCD, a total of $355 billion (£261 billion) is required each year to combat land degradation globally. Yet, only $77 billion is currently available, with about 72 per cent of that funding sourced from the countries most affected by these challenges. Government aid contributes approximately 22 per cent, while private sector investment remains alarmingly low at just 6 per cent.

Fouad highlighted that relying solely on public budgets is insufficient to close the funding gap. “We need the financial sector, development banks, insurance systems, and private capital to treat healthy land as foundational infrastructure for our economies and societies,” she stated. With aid budgets shrinking across the globe, there is an urgent need to create systems that encourage private investment in land restoration.

The Scope of Land Degradation

Land degradation, which encompasses issues such as soil erosion, deforestation, overgrazing, and loss of soil fertility, poses a significant threat to agriculture and food production. The UNCCD defines desertification as a persistent form of land degradation in dryland areas leading to the emergence of desert-like conditions. Fouad warned that the repercussions of inaction extend beyond environmental concerns. “Land degradation and drought are already contributing to food insecurity, supply chain disruptions, forced migration, rising inequality, and instability in vulnerable regions,” she explained.

The UNCCD’s data shows a troubling trend: in 2019, 15.4 per cent of global land was classified as degraded, an increase of 4 per cent in just four years. This deterioration translates to the loss of over 100 million hectares of productive land each year, impacting the lives of approximately 1.3 billion people worldwide. The economic cost of these losses is staggering, with countries facing annual losses equivalent to 2 per cent of their GDP, amounting to roughly $878 billion.

Global Responses and Solutions

Fouad’s urgent call to action has resonated with leaders worldwide, including the G7 environment ministers, who recently labelled desertification and drought as “systemic global challenges” and potential “security risk multipliers.” However, there is hope. Fouad highlighted that with sufficient funding, viable solutions are available. Initiatives such as watershed management projects in Ethiopia and Kenya, along with efforts to help farmers in the Nile Delta cultivate salt-resistant crops, demonstrate the potential for effective interventions.

One of the most ambitious projects supported by the UNCCD is the Great Green Wall initiative, aimed at planting 100 million hectares of trees across the Sahel region of Africa by 2030. Additionally, 74 drought-vulnerable countries have submitted management plans to the UNCCD, which now require funding to implement.

Looking ahead, the UNCCD will convene its “Conference of Parties” (Cop) in Ulaanbaatar, Mongolia this August, where generating finance to combat desertification will be a central topic. Despite scepticism surrounding the effectiveness of such global summits, Fouad remains optimistic. “These conferences are critical to bringing together countries from both the Global North and South,” she argued. “The world depends on Cops to reach the consensus necessary to tackle various global environmental challenges.”

Why it Matters

The implications of land degradation are profound, affecting not only the environment but also global stability, food security, and economic resilience. As climate change intensifies, the need for robust funding and innovative solutions becomes increasingly urgent. Without decisive action and investment, millions could face displacement, food shortages, and increased conflict, underscoring the interconnectedness of our world and the critical importance of healthy land for future generations.

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Chris Palmer is a dedicated climate reporter who has covered environmental policy, extreme weather events, and the energy transition for seven years. A trained meteorologist with a journalism qualification from City University London, he combines scientific understanding with compelling storytelling. He has reported from UN climate summits and covered major environmental disasters across Europe.
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