Domestic Climate Finance Mapping and Planning: Challenges and Opportunities Practitioners workshop held in the margins of COP25 December 6, 2019, Madrid Summary

The report details a COP25 workshop focused on domestic climate finance mapping. It outlines various tracking tools—such as Climate Budget Tagging and Climate Public Expenditure and Institutional Reviews—and discusses how these initiatives help countries identify funding gaps, build investor trust, and mainstream climate goals into national budgets. The document also identifies systemic challenges, including data gaps and the need for inter-ministerial coordination, while proposing the creation of a community of practice to share best practices.

• Tracking domestic climate finance is essential for implementing national mitigation and adaptation strategies and meeting Paris Agreement goals. It helps policymakers identify who is providing finance and whether that spending aligns with national policy objectives, which is particularly critical as countries enhance their Nationally Determined Contributions (NDCs) in 2020.
• Several specific tools and methodologies are used for climate finance mapping: the Land-Use Finance Tool (LUFT) tracks the life cycle of finance flows; Climate Budget Tagging (CBT) classifies expenditures within government budget systems; Climate Public Expenditure and Institutional Reviews (CPEIR) provide qualitative and quantitative analysis of public agencies; Private Sector Climate Expenditure and Institutional Reviews (PCEIR) review private sector finance at the sector level; and Investment and Financial Flows (I&FF) assessments compare future expenditure scenarios against a baseline.
• Climate finance tracking serves three primary strategic purposes: identifying financial gaps to determine the public and private expenditure needed for resilience and mitigation; building trust and transparency to mobilize private and institutional investment; and mainstreaming climate laws and policies into national budgetary processes to redirect investment from non-aligned activities.
• Practitioners identified several systemic challenges in tracking climate finance, including a lack of refined national definitions for climate finance, significant data gaps regarding off-budget and private sector investments, a need for greater inter-ministerial coordination (especially with Finance and Planning ministries), and the necessity of building internal capacity within government agencies to ensure replicability.
• To increase political buy-in and accountability, there is a need to simplify finance data through visualization and citizen-facing reports, as seen with Nepal's Citizen Climate Budget and similar efforts in Bangladesh.

APA

Climate Policy Initiative (2019). Domestic Climate Finance Mapping and Planning: Challenges and Opportunities Practitioners workshop held in the margins of COP25 December 6, 2019, Madrid Summary. http://climatepolicyinitiative.org/wp-content/uploads/2019/10/Domestic-Climate-Finance-Mapping-and-Planning-_-Challenges-and-Opportunities-_-Outcome-Brief.pdf

Chicago

Climate Policy Initiative. Domestic Climate Finance Mapping and Planning: Challenges and Opportunities Practitioners workshop held in the margins of COP25 December 6, 2019, Madrid Summary. 2019. http://climatepolicyinitiative.org/wp-content/uploads/2019/10/Domestic-Climate-Finance-Mapping-and-Planning-_-Challenges-and-Opportunities-_-Outcome-Brief.pdf.

Wikipedia

{{cite report |author=Climate Policy Initiative |title=Domestic Climate Finance Mapping and Planning: Challenges and Opportunities Practitioners workshop held in the margins of COP25 December 6, 2019, Madrid Summary |date=6 December 2019 |url=http://climatepolicyinitiative.org/wp-content/uploads/2019/10/Domestic-Climate-Finance-Mapping-and-Planning-_-Challenges-and-Opportunities-_-Outcome-Brief.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{climatepolicyinitiative2019domestic, author = {{Climate Policy Initiative}}, title = {{Domestic Climate Finance Mapping and Planning: Challenges and Opportunities Practitioners workshop held in the margins of COP25 December 6, 2019, Madrid Summary}}, institution = {Climate Policy Initiative}, year = {2019}, month = dec, url = {http://climatepolicyinitiative.org/wp-content/uploads/2019/10/Domestic-Climate-Finance-Mapping-and-Planning-_-Challenges-and-Opportunities-_-Outcome-Brief.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }