In September 1987 the Montreal Protocol on Substances That Deplete the Ozone Layer was signed. The Protocol provided for the partial phaseout of substances which deplete the ozone layer, the Earth’s essential ultraviolet radiation filter. In June 1990, prompted by a growing awareness that a partial phaseout would not be adequate, the parties
agreed to totally eliminate the most harmful ozone depleting substances.
It was understood, however, that any regime to eliminate ozone depleting chemicals would pose particular problems for developing countries. For many of them, the costs of converting to the emerging substitute technologies would be prohibitive. Moreover, to undertake such costs seemed to many of them not to be equitable, since it was industrialized countries that were responsible for virtually all the emissions to date.
In response to these concerns and to encourage developing countries to sign the Protocol and participate in the phaseout, the parties established the Montreal Protocol Interim Multilateral Fund. The $160-240 million fund is to provide financial and technical assistance, including the transfer of relevant technologies, to eligible developing countries to enable them to comply with the control measures set out in the Protocol.