OECD Climate Change

Climate Finance and the USD 100 Billion Goal

At the 15th Conference of Parties (COP15) of the UNFCCC in Copenhagen in 2009, developed countries committed to a collective goal of mobilising USD 100 billion per year by 2020 for climate action in developing countries, in the context of meaningful mitigation actions and transparency on implementation. The goal was formalised at COP16 in Cancun, and at COP21 in Paris, it was reiterated and extended to 2025.

At the request of donor countries, the OECD has been tracking progress towards this goal since 2015. It produces regular analyses of progress made, based on a robust accounting framework that is consistent with the COP24 outcome agreed by all Parties to the Paris Agreement on funding sources and financial instruments.

Spotlight: Disaggregated analysis for 2016-2020

Released on 22 September 2022, this report provides disaggregated data analysis of climate finance provided and mobilised in 2016-2020 across climate finance components, themes, sectors and financial instruments. It explores key trends and provides insights on the distribution and concentration of climate finance provided and mobilised across different developing country characteristics and groupings, as well as on its impacts and effectiveness, meaningful mitigation action and transparency on implementation.

Key findings include:

  • Climate finance provided and mobilised by developed countries largely focused on mitigation in relatively high-emitting countries.

  • The relative share of adaptation finance was significantly higher in lower-income countries (LICs), Small Island Developing States (SIDS) and Least Developed Countries (LDCs).

  • Grants represented a larger share of climate finance for SIDS, LDCs and fragile states, compared to developing countries overall.

  • The mobilisation of private climate finance was lower than anticipated, with most mobilised in middle-income countries with relatively conducive enabling environments and low-risk profiles.

  • More could be done to measure the impact of climate finance and assess effectiveness. The limited information available is in part due to the non-mandatory nature of reporting requirements for developing countries under the UNFCCC and the limited capacity of these countries to collate such information.

Related content: Aggregate trends to 2020

The OECD report “Aggregate Trends of Climate Finance Provided and Mobilised by Developed Countries in 2013-2020” released on 29 July 2022 adds aggregate figures for 2020 to the previously published 2013-19 time series, providing an assessment against the initial target year of the USD 100 billion goal. It also includes an overview of climate finance provided and mobilised by climate theme, sector, financial instrument and regions for 2016-2020.

What is included as climate finance in OECD figures?

OECD figures capture four distinct components of climate finance provided and mobilised by developed countries:

    • Bilateral public climate finance provided by developed countries’ institutions, notably bilateral aid agencies and development banks;

    • Multilateral public climate finance (provided by multilateral development banks and multilateral climate funds), attributed to developed countries;

    • Climate-related officially supported export credits, provided by developed countries' official export credit agencies, and;

    • Private finance mobilised by bilateral and multilateral public climate finance, attributed to developed countries.

OECD publications relating to the USD 100 billion goal also include less regular forward analyses. The most recent one, released in 2021 ahead of COP26, provided scenarios for the period 2021-2025, based on most recent pledges made by bilateral and multilateral public climate finance providers. It indicates that the USD 100 billion could be met as of 2023.

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