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Coordinating
Climate-Resilient
Development
The role of domestic
public finance in the
NAP process
NAP Global Network Webinar
September 20, 2017
Domestic public
finance overview
• Ongoing operational costs for the
NAP process
• Costs for integrating adaptation
into plans and budgets
• Investing in crosscutting measures
that enable adaptation
• Implementation of adaptation
actions by government ministries,
sub-national authorities or other
actors
Uses for domestic public
finance
How domestic finance is allocated depends on
the planning and budgeting cycle
Generally, there are two key entry points:
• Medium-term expenditure framework
• Annual budgeting process
Entry points
• Identify entry points early on
• Involve actors responsible for budgeting
in the NAP process
• Ensure costing is part of the process
• Strengthen capacity on integration of
climate change and adaptation
financing needs into planning and
budgeting
• Build on existing systems, advocate for
improvements where necessary
Key Issues to Consider
• Relatively predictable and
consistent source of funding
• Can support development and
implementation phases of the NAP
process
• Builds on existing systems and
institutional arrangements
• Enhances national ownership
• Can leverage other sources of
financing for adaptation
Key benefits of domestic
public finance
Revenue raising instruments:
• Taxes, levies and fees
• Bonds
• Debt conversion
Redistribution of revenue
• Subsidies
• Subsidy reform
Potential to use these instruments to
finance prioritized adaptation actions
Fiscal instruments
www.napglobalnetwork.org
info@napglobalnetwork.org
Twitter: @NAP_Network
Financial support provided by Secretariat hosted by

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The Role of Domestic Public Finance in the NAP Process

  • 1. Coordinating Climate-Resilient Development The role of domestic public finance in the NAP process NAP Global Network Webinar September 20, 2017
  • 3. • Ongoing operational costs for the NAP process • Costs for integrating adaptation into plans and budgets • Investing in crosscutting measures that enable adaptation • Implementation of adaptation actions by government ministries, sub-national authorities or other actors Uses for domestic public finance
  • 4. How domestic finance is allocated depends on the planning and budgeting cycle Generally, there are two key entry points: • Medium-term expenditure framework • Annual budgeting process Entry points
  • 5. • Identify entry points early on • Involve actors responsible for budgeting in the NAP process • Ensure costing is part of the process • Strengthen capacity on integration of climate change and adaptation financing needs into planning and budgeting • Build on existing systems, advocate for improvements where necessary Key Issues to Consider
  • 6. • Relatively predictable and consistent source of funding • Can support development and implementation phases of the NAP process • Builds on existing systems and institutional arrangements • Enhances national ownership • Can leverage other sources of financing for adaptation Key benefits of domestic public finance
  • 7. Revenue raising instruments: • Taxes, levies and fees • Bonds • Debt conversion Redistribution of revenue • Subsidies • Subsidy reform Potential to use these instruments to finance prioritized adaptation actions Fiscal instruments