At COP29, India expressed disappointment over the climate finance commitment of $300 billion annually, significantly lower than the $1.3 trillion needed by the Global South for climate action. Existing financial resources are inadequate for India’s climate goals, which require over $2.5 trillion by 2030. Developed nations have primarily offered loans, increasing debt burdens instead of grants. The implementation of the EU’s Carbon Border Adjustment Mechanism poses further financial challenges. To address these constraints, a plurilateral approach to climate finance negotiation is proposed, allowing flexibility and cooperation among subsets of nations to secure necessary funding for low-carbon development.