As international climate finance flows increase, transparency helps build trust between developed and developing country partners and improve the effectiveness of climate finance.
Tracking progress towards the $100 billion goal
The European Commission and many Member States actively contribute to initiatives improving reporting methodologies and data availability on financial support to developing countries.
Such initiatives include the OECD Development Assistance Committee, OECD Research Collaborative on Tracking Finance for Climate Action, the GEF Capacity Building Initiative for Transparency (CBIT), and International Aid Transparency Initiative.
This is important to track progress towards the developed countries' joint goal of mobilising USD 100 billion per year in support of climate action in developing countries until, and including, 2025.
EU reporting framework
The current EU reporting framework on climate finance is governed by the EU Governance Regulation adopted in 2018.
It requires Member States to submit annual reports on financial support, capacity building and technology transfer activities provided to developing countries.
Finance is also included in the EU’s annual climate action progress reports.
International reporting framework
The Parties to the UN climate convention (UNFCCC) report their financial support to developing countries every 2 years.
The EU submitted its eighth national communication and fifth biennial report in December 2022, including information on financial resources and transfer of technology.