France Shapes Budget to Increase Net-zero-aligned Public Finance

This case study describes France's implementation of a 'Green Budget' process to align public finance with the Paris Agreement and net-zero goals, utilizing a specific rating methodology for state expenditures and setting minimum environmental thresholds for recovery funding.

• Since 2017, France has worked to align its public finance trajectories with the Paris Agreement, leading to the publication of its first "Green Budget" in 2021. This budget assesses the environmental impact of all State budget expenditures based on criteria including biodiversity, local air pollution, and climate.
• The Green Budget methodology employs a rating scale from -1 (unfavorable) to +3 (very favorable) across six environmental goals: climate change mitigation, climate adaptation and disaster prevention, water resource management, circular economy and waste/technological risk prevention, pollution combat, and the protection of biodiversity and green areas.
• France has applied minimum environmental thresholds to specific funding packages, such as its 2021 COVID-19 recovery plan, which mandated that €30 billion (30% of the total package) be allocated to investments rated favorably under the Green Budget methodology. These funds supported green hydrogen development and large-scale insulation and energy efficiency projects.

APA

World Resources Institute (2024). France Shapes Budget to Increase Net-zero-aligned Public Finance. https://www.wri.org/update/france-shapes-budget-increase-net-zero-aligned-public-finance

Chicago

World Resources Institute. France Shapes Budget to Increase Net-zero-aligned Public Finance. 2024. https://www.wri.org/update/france-shapes-budget-increase-net-zero-aligned-public-finance.

Wikipedia

{{cite report |author=World Resources Institute |title=France Shapes Budget to Increase Net-zero-aligned Public Finance |date=6 March 2024 |url=https://www.wri.org/update/france-shapes-budget-increase-net-zero-aligned-public-finance |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{worldresourcesinstitute2024france, author = {{World Resources Institute}}, title = {{France Shapes Budget to Increase Net-zero-aligned Public Finance}}, institution = {World Resources Institute}, year = {2024}, month = mar, url = {https://www.wri.org/update/france-shapes-budget-increase-net-zero-aligned-public-finance}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }