Achieving international climate goals and successfully transitioning to a net zero-carbon economy requires a comprehensive response that includes the reorientation of fiscal, financial, monetary, and expenditure decisions. Governments can play an important role in mobilizing and deploying climate finance effectively towards climate change adaptation and mitigation through deploying national policies, plans and budgets.
The global climate public finance review provides a stock-take and analysis of the reforms introduced globally to integrate climate change into public financial management (PFM) systems. The review makes use of an adapted version of the ‘green PFM’ framework for structure and analysis. It supports the gradual adaptation of existing PFM practices to make them climate sensitive. It covers the whole budget cycle, including strategic planning and fiscal framework; budget preparation and approval; budget execution, accounting, and reporting; and control and audit.