Key facts
- The UN climate fund's decision is the first time it has set aside money for any country.
- Nepal will need to present a proposal for board approval before receiving funds.
- The $20 million is the maximum amount countries can request in a single application.
- The fund has received $822 million in pledges to date, but no money has been disbursed until now.
Nepal will receive $20 million in aid from the United Nations' climate loss and damage fund following devastating floods in August. The decision, made late on Thursday, marks the first payout from the fund. The August 26 flood, triggered by a climate-induced ice and rock avalanche, killed about 1,500 people and left over 5,000 missing. The disaster affected 60,000 people and caused an estimated $2.7 billion in infrastructure losses, with reconstruction bills potentially topping $4.7 billion. The UN aid accounts for less than 1% of the needed reconstruction funds. Nepal had sought assistance less than a week after the flood, and Prime Minister Balendra Shah highlighted the event as a warning about climate change despite Nepal's low emissions.