This session was focused on financing mechanisms that countries have adopted in their economies to fund domestic needs of climate change. Brazil described the design of its two major funds, the Brazilian National Climate Fund and the Amazon fund, and in this context the differences with respect to funding and relation to the national budget. Spain reported on the Spanish Fund for Sustainable Economy and China described the functionality of its Clean Development Mechanism Fund. Mexico presented specific sustainable projects in different sectors and Saudi Arabia illustrated its finance mechanisms related to its economic diversification efforts highlighting its objective to raise resilience to climate actions and to develop a usage of hydrocarbons which allows for less GHG emissions.
The discussion among participants stressed that the involvement of the private sector is an important element. Moreover, the existence of a national “champion” institution being in charge of climate change and climate finance was highlighted as a key factor of success. It was also emphasized that the implementation of climate finance mechanisms should take into account national circumstances and in particular the variety of sources of income.