Strong Governance, Stronger Climate Action

Developing member countries (DMCs) of the Asian Development Bank (ADB) are advancing toward their climate objectives, spurred by the United Nations' call to reduce greenhouse emissions and enhance adaptation and mitigation measures.??

While there has been some progress, many interventions have been small in scale, fragmented, and incremental, leaving significant gaps that hinder effective implementation.?

To drive meaningful change, DMCs must align their development strategies with transformative actions that prioritize both low-carbon practices and climate resilience.? Climate change, however, is not just an environmental issue. With its effects potentially unleashing liabilities on government budgets, climate change is also a threat to fiscal sustainability, adding pressure to already stretched public finances. ?

Central financing agencies, like ministries of finance, must step up as the ultimate safety net for households, businesses, and financial institutions. Fortunately, ADB and its financing partners are on the case, and have been supporting the DMCs in aligning public management and financial systems with their climate objectives. ?

Below are projects—implemented and currently underway—across the region that are helping the countries move closer to their climate goals:?

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Aligning Public Financial Management Systems with Climate Actions?

As climate change impacts national budgets and economies, ADB and the Republic of Korea (Korea) are helping Central Asian countries strengthen their public fiscal management systems to fight climate change more effectively.?

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Policy Reforms Spur Climate Action?

ADB and Agence Fran?aise de Développement are helping the Philippines transition to a low-carbon and climate-resilient economy through policy reforms that drive climate actions in the key sectors of agriculture, natural resources, environment, energy, and transport.?

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Creating Climate-Ready Regional Health Systems?

From 2015 to 2020, ADB pioneered a regional technical assistance project, funded by the Nordic Development Fund, to help countries in the Greater Mekong Subregion better understand the link between climate change and human health and explore ways to enhance health system capacities to respond to climate-induced health threats.?

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Accelerating Climate Transitions through Green Finance in Southeast Asia?

With support from Green Climate Fund, the United Kingdom, and Korea, this project provides a regional platform to hep Southeast Asia mobilize public and private finance for commitments under the Paris Agreement.

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Achieving Climate Change Objectives through Public Financial Management Reforms (PFM)?

With support from Korea, the project helps bring PFM-related legal frameworks, budget preparations, and fiscal accounting and auditing functions, up to date. These reforms will enable DMCs in Central and West Asia to generate additional fiscal resources for climate adaptation.??

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?Partnership Report 2023: Tell us what you think about it?