The United Nations climate conference, or COP 28, kicked off with a great deal of optimism as the loss and damage fund was established and countries made their first pledges to contribute. However, concerns remain on whether money channeled through the scheme will really reach its intended recipients.

An alternative model to this is the one utilized by GiveDirectly, the U.K. charity that provides direct cash transfers to vulnerable households. To find out more about the organization — including how they might help people in areas prone to climate disasters — Devex Executive Vice President and Executive Editor Kate Warren sat down with GiveDirectly’s vice president for partnerships, Yolande Wright, for this episode of the Climate + podcast.

During the conversation, Wright highlights the effectiveness of lump sum cash transfers in helping households build resilience to climate change by investing in livelihoods and improving homes, as well as their ability to address systemic issues — such as infrastructure and gender equality — to support long-term sustainable development.

They also dug into the importance of having access to good data and how the rise of artificial intelligence will enable cash transfer targeting to become more efficient.

“I think there’s been a tendency of development experts to spend a long time designing and consulting on programs and deciding how best donor money should be spent,” Wright points out during the conversation. She argues that people facing the challenges of climate change in the global south “are best placed to make their own decisions about how they invest their money.”

The Climate + podcast is supported by the World Bank. To learn more about efforts to end poverty on a livable planet, check out the link.

The power of cash transfers in preparing communities for climate change