This technical paper analyses options for monitoring and evaluation of climate change capacity-building activities. This paper explores the policies, frameworks and approaches to capacity issues, and monitoring and evaluation of capacity-building activities being pursued under the Convention and its Kyoto Protocol; reviews and analyses approaches to monitoring and evaluation of capacity-building used in other fields that may be relevant and applicable to monitoring and evaluation of capacity-building in the areas of the capacity-building framework for developing countries under decision 2/CP.7; and offers lessons learned that could be taken into account in further discussions on monitoring and evaluation under the capacity-building framework.