Domestic Climate Finance Mapping and Planning: Virtual Workshop, 2021 – Summary

This report summarizes a virtual workshop held on January 21, 2021, organized by the European Forest Institute, Climate Policy Initiative, and UNDP. The event brought together over 200 participants from more than 60 countries to discuss the mapping and tracking of domestic climate finance, focusing on how these tools can drive policy ambition, improve reporting under the Paris Agreement, and mobilize both public and private investment.

• Domestic climate finance tracking serves two primary purposes: identifying financial gaps to improve resource mobilization and planning for national budgets, and providing data for the private sector to incentivize climate-compatible investments.
• Climate finance tracking is essential for meeting international reporting obligations under the Paris Agreement's 'Enhanced Transparency Framework,' which requires Annex II and non-Annex I parties to report on finance provided, received, or needed in biennial transparency reports. It also supports the global stocktake via reports from the Standing Committee on Finance.
• Integrating climate finance tracking into public budgeting is considered a critical tool for implementing Nationally Determined Contributions (NDCs). For example, Indonesia used climate budget tagging data as a reference for issuing Green Sukuk (green bonds) to fund climate actions and achieve Sustainable Development Goals (SDGs).
• Countries are expanding tracking initiatives to include adaptation and other environmental sectors. Indonesia implemented climate budget tagging for adaptation, with approximately 43% of its 2020 climate budget allocation dedicated to adaptation spending. South Africa is working to incorporate biodiversity and the circular waste economy into its tracking.
• A major barrier to mobilizing private sector capital is the lack of credible sectoral roadmaps and investment-grade policies. The UK's Committee on Climate Change 6th Carbon Budget Report (December 2020) is cited as an example of providing detailed investment requirements by sector for the transition.
• To shift private lending toward climate-friendly investments, there is a critical need for harmonized approaches, transparent taxonomies, and common metrics. South Africa recently released a technical paper to introduce a green finance taxonomy to standardize resource mobilization around debt and green bond issuances.
• Chile is utilizing UNDP's Investment and Financial Flows (IF&F) assessments to identify cost-effective ways to achieve its goal of carbon neutrality by 2050 and to comply with the transparency framework mandated by Article 13 of the Paris Agreement.

APA

Climate Policy Initiative (2021). Domestic Climate Finance Mapping and Planning: Virtual Workshop, 2021 – Summary. https://www.climatepolicyinitiative.org/wp-content/uploads/2021/01/Domestic-Tracking-Workshop-2021-Summary-EFI-CPI-UNDP.pdf

Chicago

Climate Policy Initiative. Domestic Climate Finance Mapping and Planning: Virtual Workshop, 2021 – Summary. 2021. https://www.climatepolicyinitiative.org/wp-content/uploads/2021/01/Domestic-Tracking-Workshop-2021-Summary-EFI-CPI-UNDP.pdf.

Wikipedia

{{cite report |author=Climate Policy Initiative |title=Domestic Climate Finance Mapping and Planning: Virtual Workshop, 2021 – Summary |date=2021 |url=https://www.climatepolicyinitiative.org/wp-content/uploads/2021/01/Domestic-Tracking-Workshop-2021-Summary-EFI-CPI-UNDP.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{climatepolicyinitiative2021domestic, author = {{Climate Policy Initiative}}, title = {{Domestic Climate Finance Mapping and Planning: Virtual Workshop, 2021 – Summary}}, institution = {Climate Policy Initiative}, year = {2021}, url = {https://www.climatepolicyinitiative.org/wp-content/uploads/2021/01/Domestic-Tracking-Workshop-2021-Summary-EFI-CPI-UNDP.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }