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National Climate Funds: Learning from the experience of Asia-Pacific countries

This discussion paper synthesizes and analyzes the experiences of Asia-Pacific countries in establishing and managing National Climate Funds, and can provide a starting point for in-country discussions about setting up such a fund. The paper suggests feasibility criteria for setting up funds, explores different design features (including presenting a useful typology of different types of fund), looks at some important management features and makes summary recommendations. Annex 1 of the paper summarizes the advantages and disadvantages of managing climate finance through the national budget system compared with establishing a National Climate Fund.

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