compensatory finance


Also found in: Financial.

compensatory finance

n
(Banking & Finance) another word for deficit financing
References in periodicals archive ?
But given their historic role in causing the problem, rich countries now have two very clear obligations: to stop harming, by massively cutting their greenhouse-gas emissions, and to start helping, with compensatory finance so poor countries can adapt, before they suffer the full impacts of climate change.
From these perspectives, a minimum of $50billion annually to build poor-country resilience to climate change would not only be compensatory finance from those countries primarily responsible for the problem, but would also be affordable, and innovative financing mechanisms can provide the bulk of what is needed.
The countries topping the Adaptation Financing Index--the USA, the EU, Japan, Canada, and Australia --should start providing compensatory finance to developing countries, in line with their responsibility for causing climate change, and their capability to assist.