Capacity-Building to Support Mobilizing and Scaling Investment for NDC and NAP Implementation

At COP 21, Parties agreed that the Paris Committee on Capacity-building (PCCB) will annually focus on a specific theme or area to enhance technical exchange and stay informed about the latest developments, successes, and challenges in capacity-building. For 2025-2026, the PCCB has chosen to concentrate its activities on: “Capacity-building for holistic investment strategies, bankable projects, and stakeholder engagement to strengthen the implementation of NDCs and NAPs in developing countries”.

 

This page is here to provide countries with tools, knowledge products and access to global organizations to support them in addressing the gaps and needs of the 2025-2026 focus area. There are a variety of resources with open access support programmes, monetary tools and frameworks, and specific country case study examples. The aim is to highlight the options available to countries and provide real world examples with tangible solutions. 

PCCB focus area 2025-2026

Objectives 

The 2025-2026 focus area aims to strengthen the capacity of developing country Parties to:

🔹 Mobilize and scale finance for climate action – bridging the gap between climate ambitions and tangible outcomes through strategic investments and bankable projects;

🔹 Enhance the skills and knowledge for accessing climate finance – to secure funds from different sources including, Multilateral Development Banks (MDBs), International Financial Initiatives (IFIs), the private sector and philanthropic foundations; and

🔹 Strengthen institutional capacity – support in creating an enabling environment for effective climate action through systemic and institutional capacity-building.

This involves supporting national institutions in engaging with financiers, designing viable projects, and ensuring alignment with broader development objectives. It also prioritizes inclusivity—integrating the voices of local communities, Indigenous peoples, women, and youth—to shape investment strategies and bankable projects for NDC and NAP implementation.

Gaps and Needs

Critical gaps between the capacity-building support provided by key stakeholders and the specific capacity-building needs expressed by governments were identified which enabled 8 key gaps and needs to be established.

All tools, knowledge products and resources provided address one or more of the below gaps and needs:

  • Inability to maintain a sound grasp of broader macroeconomic conditions and market trends and their relationship with climate action
  • Insufficient alignment of climate policies across sectors and public institutions 
  • Insufficient alignment of green projects with national NDCs & NAPs goals and objectives 
  • Inadequate understanding of various reliable revenue models  
  • Unfamiliarity with the range of financial instruments at their disposal  
  • Lack of a comprehensive understanding of available financial sources and clear definition of climate finance 
  • Unfamiliarity with effective stakeholder engagement strategies across multiple levels  
  • Inadequate data collection, management and reporting 
Support-Programmes

These organizations provide on-demand support that developing countries can request to strengthen NDC/NAP implementation, climate investment planning, and finance readiness.

 

NDC Partnership

NDC Partnership is open to countries that are committed to ambitious implementation of Nationally Determined Contributions (NDCs) under the Paris Agreement and the 2030 Sustainable Development Goals.

NDC Partnership coordinates in-country technical assistance across ministries (finance, planning, energy, environment) and mobilizes partners to develop investment plans, project pipelines and finance strategies for NDC/NAP implementation.

Country Example: Belize

In Belize, the NDC Partnership supported the government in developing a comprehensive national climate-finance strategy aligned with its NDC and adaptation priorities. This involved mapping existing climate expenditures, identifying financing gaps across sectors such as coastal protection, renewable energy, and agriculture, and coordinating multiple ministries around a shared investment roadmap.

The partnership also worked with Belize to design approaches for mobilizing private-sector participation, including blended-finance instruments and engagement with local financial institutions, ensuring that climate commitments translated into realistic and achievable programmes rather than high level pledges.

 

Adaptation Fund

The Adaptation Fund is a multilateral climate fund that finances projects and programmes helping vulnerable countries adapt to climate change, with a distinctive emphasis on direct access. This means accredited national or regional institutions, rather than international intermediaries, can receive funding directly, strengthening domestic ownership and fiduciary capacity. The Fund supports activities ranging from climate-resilient agriculture and water management to coastal protection, urban resilience, and health-system adaptation.

Alongside project finance, the Fund invests heavily in institution-building, helping governments strengthen procurement systems, environmental and social safeguards, monitoring and evaluation frameworks, and climate-risk screening tools. This dual role makes the Fund particularly important for longer-term climate-finance readiness.

Country example: Namibia 

In Namibia, Adaptation Fund support focused on integrating climate resilience into health-sector infrastructure and planning, recognizing the growing climate-related risks to service delivery from heat stress, drought, and flooding.

The programme strengthened coordination between the ministries responsible for health, environment, and public works, introduced climate-risk assessments for new facilities, and built technical capacity for designing resilient infrastructure. 

This example highlights how adaptation finance can reshape sector-based investment decisions beyond traditional environmental agencies.

Find out more here.

 

Green Climate Fund (GCF)

The Readiness & Preparatory Support Programme provides grants to help governments build the institutional foundations required to access large-scale climate finance. This includes establishing national designated authorities, developing climate-finance strategies, accrediting domestic entities, creating project-preparation facilities, and aligning sector plans with NDC priorities.

Readiness support is particularly important for enabling countries to move from policy ambition to investment-grade project pipelines, ensuring that renewable-energy programmes, urban-resilience investments, or agricultural-adaptation schemes meet the technical, financial, and safeguard standards of international financiers.

Country example: Senegal

In Senegal, GCF readiness assistance helped multiple ministries, including those responsible for energy, agriculture, and urban development, coordinate around a shared climate-investment pipeline. This process strengthened cross-government planning, developed sector-specific financing strategies, and prepared concept notes for submission to international funders, thereby embedding climate objectives into the country’s broader development and infrastructure agenda.

Find out more here.

United Nations Development Programme (UNDP)

Through Climate Promise and the Climate Finance Network, UNDP supports governments in mainstreaming climate change across public-finance systems, development planning, and sector strategies. It's work includes strengthening climate-budget tagging, integrating mitigation and adaptation into medium-term expenditure frameworks, building MRV systems, and supporting ministries of finance to evaluate climate-investment needs.

UNDP’s regional Climate Finance Networks also facilitate peer learning among countries, connect officials to technical experts, and disseminate best practices on blended finance, project structuring, and engagement with multilateral funds.

Country example: Indonesia

In Indonesia, UNDP support strengthened cross-ministerial coordination on climate finance and policy alignment, particularly between planning, finance, and sectoral ministries. Through its regional Climate Finance Network hub, UNDP also helped advance green-finance frameworks and institutional arrangements designed to crowd in private investment for low-carbon development and climate-resilient infrastructure.

Find out more here.

 

NAP Global Network 

The NAP Global Network assists developing countries in formulating and implementing National Adaptation Plans, with a strong emphasis on financing strategies, institutional coordination, and private-sector engagement. Its in-country programmes often include vulnerability assessments, prioritization of adaptation investments across sectors, capacity-building for line ministries, and development of project pipelines that can be taken to climate funds and development banks.

Country example: Saint Lucia 

NAP Global Network supported the development of adaptation strategies and action plans, and investment strategies, for sectors that are particularly vulnerable to climate change. This was achieved by building a bankable pipeline of adaptation projects for these vulnerable sectors, and complemented this with both a NAP financing strategy and private sector engagement strategy. 

Find out more here.

United Nations Capital Development Fund (UNCDF)

Through LoCAL, UNCDF builds subnational governments’ capacity to design climate investments and blend grants with public/private finance.

LoCAL+ continues to provide a standard internationally recognized mechanism that helps local government authorities in developing and least developed countries access the climate finance, capacity-building and technical support they need to respond and adapt to climate change

Country example: Nepal 

In Nepal, UNCDF delivered targeted capacity-building programmes for local governments, including innovative initiatives that partnered with universities to embed young professionals within municipal teams. These placements supported climate-investment planning, data collection, and community engagement, illustrating how institutional capacity can be strengthened from the bottom up while improving the quality of local adaptation proposals.

 

Knowledge-Products-Analytical-Tools-and-Framework

These organizations provide structured diagnostics, modelling tools and finance standards that countries can apply independently or alongside technical assistance. 

 

World Bank Tools

Country Climate and Development Reports (CCDRs)

CCDRs support countries to identify main pathways through concrete actions to accelerate their development ambitions in line with their own NDC, building resilience. These are tools for governments, citizens, the private sector and development partners. Annual reports are published at COP, with the latest one showing that investments that build greater resilience and help countries, communities, and companies adapt can generate the equivalent of 25 million more and better-paid jobs across the 49 of the countries studied.

Country Example: Ethiopia

Ethiopia’s CCDR identifies three priority actions for the government to take: accelerate implementation of structural reforms and promote social safety net programs, invest in climate-resilient infrastructure and support greater decentralization of climate response.

Financing Instruments in Climate Finance for Asset Recycling

This tool provides different types of financial instruments that can be utilized for climate finance, the definition of each financial instrument and issues associated with them, distinct approaches to climate finance, and examples of climate finance providers. A set of Asset Recycling Guidelines supports governments in delivering asset recycling transactions with a focus on long-term concession and lease models.

Climate Change Knowledge Portal

The World Bank provides countries with integrated climate economic datasets and analytical tools through the Climate Change Knowledge Portal and Country Climate and Development Reports.

It provides practitioners with an online platform to access and analyze comprehensive data related to climate change and development, with data available at national and sub‑national scales.

 

Organisation for Economic Co-operation and Development (OECD)

OECD Mapping Resource and Toolkit

Climate Club Financial Tool

The toolkit provides an overview of 28 economic, de-risking and financing instruments used to support industry decarbonization in emerging markets, developing economies and developed countries.

Economic Instrument in India

The Government of India introduced Production-Linked Incentive (PLI) schemes to enhance manufacturing competitiveness, attract advanced technology investments, and build economies of scale. The scheme offers cash reimbursements between 1% and 10% of net sales. It has benefited 176 MSMEs and boosted growth across manufacturing sectors.

De-risking Instrument in Ghana

Denmark’s Export and Investment Fund helped create incentives for investment in CBI Ghana, a cement manufacturer, supporting the purchase of a crusher and clay calciner. The project attracted investors such as Norfund and reduced CO₂ emissions by roughly 20%.

Financing Instrument in Colombia

The Inter-American Development Bank supported BBVA Colombia in issuing USD 100 million in sustainable bonds to finance green and social projects aligned with SDGs. The funds expand BBVA’s green and social portfolios and develop financial services for MSMEs to promote inclusive sustainable development.

 

African Development Bank

This knowledge product provides macroeconomic climate diagnostics and finance‑ministry training linking debt sustainability and renewable-energy investment strategies.

The African Development Bank Group emphasizes research and knowledge sharing, notably through its annual African Economic Outlook (AEO). The 2025 edition, “Making Africa's Capital Work Better for Africa’s Development,” highlights economic performance, domestic capital mobilization and efficiency, and the importance of strengthened institutions and governance.

Case-Studies

Climate Investment Funds (CIF)

The Climate Investment Funds is a leading multilateral climate finance partnership that channels concessional finance through six multilateral development bank partners. It provides both upstream advisory and downstream investment to support climate action and resilient development in low- and middle-income countries.

The World Bank, the International Finance Corporation, the African Development Bank, the Asian Development Bank, the European Development Bank, and the Inter-American Development Bank are the implementing partners of CIF’s investments.

Country example: Dominican Republic energy-transition modelling

Dominican Republic participates in the CIF Nature, People and Climate investment programme to promote integrated, resilient, low-carbon management of the Yuna watershed through nature-based solutions. Expected results include strengthened institutions, ecosystem restoration, conservation, and nature‑positive economic diversification.

 

Global Green Growth Institute (GGGI)

GGGI supports and promotes strong, inclusive, and sustainable economic growth in developing countries and emerging economies.

Its in‑country presence enables GGGI to act as an independent advisor, providing policy support, technical assistance, green‑investment mobilization, and capacity building.

Become a member.

Country example: Vietnam

Since 2015, GGGI has supported Vietnam with technical assistance, policy advisory services, investment mobilization, and capacity building for its green‑growth and net‑zero goals.

As of 2024, GGGI has mobilized over USD 300 million for green projects, including waste‑to‑energy initiatives and pioneering green bond issuances. The “GGGI–Vietnam Country Planning Framework 2024–2028” further strengthens cooperation on climate action.

 

Climate Compatible Growth (CCG)

CCG is a UK aid–funded initiative supporting sustainable energy and transport investments in the Global South.

Data‑to‑Deal (D2D) has mobilized over USD 11 billion for clean infrastructure projects across participating countries.

Country example: Costa Rica Data‑to‑Deal

Costa Rica’s 2019 Long‑Term Strategy provided a low‑cost roadmap for inclusive growth and decarbonization. It helped the country secure USD 2.4 billion in concessional climate finance by 2022.

The D2D pipeline emerged as a key factor in Costa Rica’s financing success.

 

Japan International Cooperation Agency (JICA)

The Japan International Cooperation Agency (JICA) implements Japan’s Official Development Assistance with a focus on human security and quality growth.

JICA has 20 global cooperation strategies addressing issues such as health, conflict, and climate change.

Country example: Indonesia energy transition

Japan is Indonesia’s largest donor, with JICA supporting multiple projects including geothermal energy, natural resource governance, and climate‑change program loans.

 

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