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Tuvalu PM: We Shouldn’t Have to Borrow Out of Climate Crisis

Fiji News Desk by Fiji News Desk
October 6, 2026
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Tuvalu Prime Minister Feleti Teo told leaders and delegates gathered in Funafuti that his country should not have to take on more debt to shield itself from climate change, calling instead for faster, simpler and grant-based climate finance. FBC News reported the remarks on 6 October, as parallel Pre-COP31 talks in Fiji turned to the same question: how adaptation money actually reaches Pacific communities.

Key facts

  • Teo said small island developing states like Tuvalu have contributed very little to the emissions driving the crisis, yet are among those facing its most severe consequences, per FBC News.
  • Fiji’s Permanent Secretary Dr Sivendra Michael said developing countries’ adaptation needs are estimated at about 12 times the current level of international public adaptation finance, according to Islands Business.
  • Fiji has identified 43 communities where planned relocation may be required, each running into millions of dollars and several years, Islands Business reported, though the outlet did not publish a per-site cost or range.
  • Green Climate Fund approvals for the Pacific rose from around US$500 million in 2023 and could approach US$1.3 billion if a major joint ADB–GCF regional programme is approved, Islands Business reported from the session.
  • Fiji’s Minister for Information, Environment and Climate Change Lynda Tabuya called on developed countries on Monday to increase financing for vulnerable nations and to back projects that move developing countries away from fossil fuels, according to SANA, citing AFP.

Why it matters

Teo framed the temperature target as existential, saying that for Tuvalu 1.5 degrees Celsius is not simply a target under the Paris Agreement but a survival limit, FBC News reported. He also said leaders must carry the lessons of Tuvalu into COP31 and turn commitments into action, and asked delegates not to leave the country having seen only its vulnerabilities.

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The Fiji session reached a similar conclusion from the finance side. Islands Business reported that the challenge was not simply the amount of money available, but how that money reaches communities — and that success will ultimately be measured by the time between a community identifying a climate risk and finance translating into action on the ground.

For Fiji the form of that money is also a budget question. Michael’s case for grants rests on the point that seawalls, food security work and village relocation do not throw off commercial returns, so borrowing to build them adds to public debt without a revenue stream to service it — and the bill for 43 potential relocation sites would sit on the national books.

Teo’s demand: grants, not loans

In his address, Teo put the case as a question. “We should not have to borrow a way out of a crisis we did not create,” he said, as quoted by FBC News. The broadcaster reported that Tuvalu is already investing in coastal protection and creating safer land for its people, and wants Pacific community voices shaping climate decisions.

Fiji: fund the plan, not the project

The Pacific Pre-COP31 session on adaptation finance brought together Fiji, Palau, the Asian Development Bank, the Green Climate Fund and regional agencies, Islands Business reported. Michael urged a shift from “financing the project” to “financing the plan”, alongside greater use of grants and highly concessional finance, and proposed measuring the “time to community” — how long finance takes to move from approval to tangible results.

The relocation figure lands close to home for readers following villagers who brought their relocation stories to the Nadi talks and questions in Parliament over a $2.7m stalled relocation site — the clearest public price tag yet attached to a single Fijian site.

Palau’s National Climate Change Coordinator, Xavier Matsutaro, said many adaptation investments require time horizons far beyond the traditional three-to-five-year project cycle, with ports, food systems, waste management and coastal resilience sometimes needing programmes lasting a decade or more, according to Islands Business. The outlet described a growing push away from isolated projects towards coordinated national and regional adaptation programmes.

What the Green Climate Fund said

Artur Cardoso de Lacerda, the fund’s Director of Governance Affairs and Secretary to the Board, said it has deployed around US$7 billion in adaptation finance across about 145 countries, Islands Business reported. For Pacific governments, the outlet said, the open question is whether the fund’s reforms can deliver finance to communities faster and at the scale required — the same test facing Fiji’s own carbon market plan launched at the Pre-COP.

Where COP31 will be held

SANA, citing AFP, reported that COP31 is scheduled for Antalya, Türkiye. FBC News quoted Teo referring to “COP 31 in Tekia”, which appears to be a transcription of Türkiye rather than a second host city: no source names an alternative venue. On the published reporting, Antalya, Türkiye is the host.

Frequently Asked Questions

How big is the global gap between adaptation needs and adaptation funding?

A United Nations report released in August estimated developing countries need between US$310 billion and US$365 billion a year for climate adaptation, against US$26 billion in adaptation finance provided in 2023. Those figures were reported by SANA, citing AFP, as Fiji pressed developed countries for more funding.

Is the Green Climate Fund opening an office in the Pacific?

Yes. Islands Business reports the fund is planning its first regional offices, with a Pacific office planned for Suva in 2027. The same report says the fund is also seeking to expand the role of Pacific-based and locally led organisations in accessing climate finance.

How long does the Green Climate Fund take to assess a funding proposal?

Artur Cardoso de Lacerda, the fund’s Director of Governance Affairs and Secretary to the Board, told the Pre-COP31 session the fund is targeting completion of funding proposal reviews within nine months and is working to streamline disbursements, according to Islands Business.

How many Pacific organisations can access Green Climate Fund money directly?

The fund has eight accredited entities from the Pacific, five of which already have board-approved proposals, Islands Business reports. Programmes are also being developed to strengthen direct access for Indigenous peoples and community organisations.

Tags: climate financeFiji economyGreen Climate FundPre-COP31Tuvalu
Fiji News Desk

Fiji News Desk

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