Climate finance plays a critical role in supporting developing nations to mitigate and adapt to the impacts of climate change. This review examines the multifaceted role of climate finance in assisting developing countries in addressing climate change challenges. It begins by providing an overview of the global climate finance landscape, highlighting key sources of climate finance, including public funds, private investments, and innovative financing mechanisms. The review then explores the allocation and distribution of climate finance, analyzing trends, disparities, and challenges in accessing and utilizing funds among developing nations. It assesses the effectiveness of climate finance in supporting mitigation and adaptation activities in developing countries, examining case studies and best practices to illustrate how climate finance has been utilized to finance renewable energy projects, enhance resilience in vulnerable communities, and promote sustainable development. The review evaluates the governance and institutional frameworks governing climate finance, including the role of international financial institutions, national governments, and civil society organizations in mobilizing and disbursing funds. It also examines the challenges and opportunities associated with scaling up climate finance to meet the growing needs of developing nations, discussing issues such as financial transparency, accountability, and the alignment of climate finance with national development priorities. Additionally, the review explores innovative financing mechanisms, such as green bonds, climate insurance, and carbon pricing, as potential avenues for mobilizing additional resources for climate action in developing countries. The review highlights the importance of climate finance in supporting developing nations to address climate change challenges and achieve sustainable development goals. It emphasizes the need for enhanced international cooperation, policy coherence, and investment mobilization to accelerate climate action and build resilience in the most vulnerable regions. By leveraging climate finance effectively and efficiently, developing countries can transition to low-carbon, climate-resilient economies while advancing their development objectives. The review also identifies challenges in accessing and utilizing climate finance, including limited institutional capacity, complex procedures, and uncertainty in funding flows. Addressing these challenges requires concerted efforts from governments, international organizations, financial institutions, and civil society to strengthen institutional capacity, streamline procedures, and enhance access to finance for developing nations.Climate finance plays a critical role in supporting developing nations to mitigate and adapt to the impacts of climate change. This review examines the multifaceted role of climate finance in assisting developing countries in addressing climate change challenges. It begins by providing an overview of the global climate finance landscape, highlighting key sources of climate finance, including public funds, private investments, and innovative financing mechanisms. The review then explores the allocation and distribution of climate finance, analyzing trends, disparities, and challenges in accessing and utilizing funds among developing nations. It assesses the effectiveness of climate finance in supporting mitigation and adaptation activities in developing countries, examining case studies and best practices to illustrate how climate finance has been utilized to finance renewable energy projects, enhance resilience in vulnerable communities, and promote sustainable development. The review evaluates the governance and institutional frameworks governing climate finance, including the role of international financial institutions, national governments, and civil society organizations in mobilizing and disbursing funds. It also examines the challenges and opportunities associated with scaling up climate finance to meet the growing needs of developing nations, discussing issues such as financial transparency, accountability, and the alignment of climate finance with national development priorities. Additionally, the review explores innovative financing mechanisms, such as green bonds, climate insurance, and carbon pricing, as potential avenues for mobilizing additional resources for climate action in developing countries. The review highlights the importance of climate finance in supporting developing nations to address climate change challenges and achieve sustainable development goals. It emphasizes the need for enhanced international cooperation, policy coherence, and investment mobilization to accelerate climate action and build resilience in the most vulnerable regions. By leveraging climate finance effectively and efficiently, developing countries can transition to low-carbon, climate-resilient economies while advancing their development objectives. The review also identifies challenges in accessing and utilizing climate finance, including limited institutional capacity, complex procedures, and uncertainty in funding flows. Addressing these challenges requires concerted efforts from governments, international organizations, financial institutions, and civil society to strengthen institutional capacity, streamline procedures, and enhance access to finance for developing nations.