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A Practical Guide to Understanding and Establishing Climate Finance Units

A Practical Guide to Understanding and Establishing Climate Finance Units

Year Published

2025

Contributing Organisations

NDC Partnership
UK Foreign, Commonwealth & Development Office (FCDO)

Type of Resource

Research/Insights Report

Languages

English

Relevant Topics

Core Topic
Climate & Transition Finance
Topic 2
Climate Policies & Frameworks
Topic 3
Climate Strategy & Capabilities

Target Audience

Governments & Policymakers
Financial Services Providers
MDBs/DFIs

Relevant Geography

Global
A Practical Guide to Understanding and Establishing Climate Finance Units

Resource Summary

This Policy Brief has been developed to address the interests of the Taskforce on Access to Climate Finance members and to contribute to knowledge and learning within the wider climate finance community by providing actionable insights for the development and effective implementation of Climate Finance Units (CFUs) within governments. The analysis finds that the rationale for establishing CFUs is rooted in the need countries have for financing to implement their Nationally Determined Contributions (NDCs), National Adaptation Plans (NAPs), Long-Term Low Emission Development Strategies (LT-LEDS) and in the recognition that, without dedicated and skilled units to plan, access, coordinate, and manage climate finance, countries risk experiencing inefficient financial flows, duplicative efforts, and a lack of alignment with national climate and development priorities.

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