Climate finance opportunities and challenges in Pakistan

To date, Pakistan’s access to international climate finance flows has been very limited. This project provides insights into the thinking of senior policymakers at the Ministry of Finance as they consider climate finance opportunities for Pakistan, and seeks to contribute to building technical expertise within the Ministry in order to identify and mobilise financing from the instruments and means available internationally. The research will examine whether (and how) undertaking actions to address climate change can give Pakistan more fiscal space in the IMF programme, and assess how the country’s existing and planned initiatives to combat climate change can be leveraged to obtain climate-to-debt swaps.

With the Government of Pakistan's Updated Nationally Determined Contributions (NDCs) (2021) as a reference, the findings summarise recent global climate finance flows, expectations of major climate finance providers, and emerging issues including opportunities to shape global standards, analytics, and programmes.