Climate Finance Reform Compass
The world must mobilize dramatically larger volumes of climate finance. This cannot happen without holistic reform of the international financial architecture—the network of institutions, standards, and practices that organize global financial flows.
Moving from talk to action will take coordinated efforts by diverse stakeholders, on concrete milestones in the coming years.
To support this ambition, CPI has created the Climate Finance Reform Compass: an action-oriented tool that identifies financial sector reforms that could, together, drive the increase in climate finance we need.
The Compass aims to facilitate consensus and coordinate action among public and private stakeholders on reforms to the international financial architecture needed to meet the global climate challenge.
It identifies pragmatic goals and milestones for action across nine thematic areas, aligned with the principles laid out in the COP28 UAE leaders’ declaration on a Global Climate Finance Framework:
| Commitments & ambition | Just transition | Domestic mobilization |
| Fiscal space | Country platforms | Private finance |
| Concessional finance | MDB reform | Carbon markets |
Within these themes, the Compass includes 29 key reforms, noting their current status, key related resources, and where we need to be by 2030.
This interactive platform aims to help stakeholders from the public, private, and civil society sectors focus on pragmatic goals, coordinate action, and chart progress.
Leaders of development finance institutions, private financiers, analysts, advocates, and others seeking to drive the climate finance agenda can use this tool to explore key topics and action points within nine themes.
Milestones are aligned to major global meetings to help focus efforts on events where change can happen. The Compass will be updated periodically in order to capture progress and chart next steps.
This marks the first effort to track comprehensive, material progress by major FIs globally: from their commitments, through action within the institution, to impacts on the wider economy.
