Read the following passage and answer the questions that follow. Your answers to the given questions should be related to the passage only.
All actions to address climate change ultimately requires funding of costs. Funding is vital in order for countries like India to design and implement adaptation and mitigation plans and projects. The problem is more severe for developing countries like India, which would be one of the hardest hit by climate change, given its need to finance development. Most countries do indeed treat climate change as a real threat and are striving to address it in a more comprehensive and integrated manner with only limited resources at their disposal.

Correct Option (c)

Statements 2 and 3 are valid assumptions based on the provided passage.

• Statement 2: "Climate change is a complex policy issue and also a development issue for many countries." The passage highlights that for developing countries like India, climate change presents a severe problem due to the concurrent need to finance development. This indicates that climate change is intertwined with development challenges, making it a complex policy and development issue.
• Statement 3: "Ways and means of finance must be found to enable developing countries to enhance their adaptive capacity." The passage explicitly states that "Funding is vital in order for countries like India to design and implement adaptation and mitigation plans and projects." This directly supports the necessity of financial mechanisms for developing countries to enhance their adaptive capabilities.

Incorrect Options:

Statement 1: "Climate change is not a challenge for developed countries." This assumption is invalid. The passage states that "Most countries do indeed treat climate change as a real threat." This general statement includes developed countries, implying that climate change is a challenge for them as well, contrary to the assumption.