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.

Outputs

  • Publication - Working Paper

    Recent developments in climate finance: Implications for Pakistan

    The Government of Pakistan (GoP) has ambitious plans for reducing 2030 greenhouse gas emissions to 50% of baseline projected levels. These plans anticipate USD 151 billion of investment just for energy sector mitigation projects by 2040. In the GoP’s view, any 50% reduction below baseline projected emissions should be financed 15% from domestic sources and 35% from...

    1 Sep 2022 | Ijaz Nabi, Amna Mahmood, William P. Mako, Shehryar Khan