Climate finance has fallen short of its humanitarian promise. Not only is there a shortage of funds, but they often fail to reach individuals and groups most vulnerable to the adverse effects of climate change. In this paper, CHA Research Fellow Dr. Iida-Maria Tammi analyses the causes and (humanitarian) effects, looking at key policy debates on climate finance for the humanitarian sector: lack of grant-based climate finance, obscure donor reporting practices, adaptation funding gap, and double counting of ODA and climate funds. The paper outlines measures to overcome these structural and systemic factors and support more efficient and equitable use of climate funds.