President Ferdinand R. Marcos Jr. has signed into law Republic Act No. 12019, known as the Loss and Damage Fund Board Act.

The new law, which Marcos signed Wednesday, grants juridical personality and legal capacity to the Loss and Damage Fund Board, a global finance mechanism to help vulnerable states dealing with the effects of climate change.

A copy of the new law was made public by the Presidential Communications Office (PCO) on Thursday.

With the passage of RA 12019, the Board, as the governing body of the Fund, shall have juridical personality with full legal capacity to contract, acquire and dispose immovable and movable property, as well as institute legal proceedings.

It will also have the legal capacity to negotiate, conclude, and enter into a hosting arrangement with the World Bank as interim trustee and host of the Fund’s secretariat, and undertake activities as necessary for discharging its roles and functions.

The Philippines was recently selected to host the Board of the Loss and Damage Fund.

Established through a decision of the Parties to the United Nations Framework Convention on Climate Change and the Paris Agreement, the Loss and Damage Fund aims to help developing countries in responding to economic and non-economic loss and damage associated with climate change, including extreme weather and slow-onset events.

The Board, as a decision-making body, is responsible for setting the fund’s strategic direction, operations, and work program.

Marcos earlier said hosting the next board meeting would give the Philippines a “strong voice to access the needed financial assistance for climate-related initiatives and impacts.” (PNA)