IDEAS home Printed from https://ideas.repec.org/a/plo/pclm00/0000246.html
   My bibliography  Save this article

The role of institutional design in mobilizing climate finance: Empirical evidence from Bangladesh, Brazil, Ethiopia, and Indonesia

Author

Listed:
  • Rishikesh Ram Bhandary

Abstract

International climate finance is a crucial component of the response to climate change. This paper examines how national-level funding vehicles mobilize finance from international sources. Based on interviews with policymakers and various actors involved in the negotiation and design of four major early national climate funds, the Amazon Fund, the Bangladesh Climate Change Resilience Fund, Ethiopia’s Climate Resilient Green Economy Facility, and the Indonesia Climate Change Trust Fund, this paper identifies design features of national climate funds and highlights the trade-offs that developing countries face in their pursuit of climate finance. These design features have significant bearing on the overall effectiveness of the funds themselves. The findings from this study suggest that developing countries seek to maximize control over the funds even though it means that the design features do not minimize costs, as efficiency-oriented perspectives would suggest. The experience of these early national climate funds could be instructive to those governments and stakeholders considering establishing their own national climate funds or improving features. Three policy lessons are noteworthy: the importance of demonstrating commitment to climate policy through transparent data and results, instilling robust fiduciary standards and safeguards, and the virtuous cycle mobilizing climate finance and acquiring a track record on climate programming.

Suggested Citation

  • Rishikesh Ram Bhandary, 2024. "The role of institutional design in mobilizing climate finance: Empirical evidence from Bangladesh, Brazil, Ethiopia, and Indonesia," PLOS Climate, Public Library of Science, vol. 3(3), pages 1-16, March.
    • Handle: RePEc:plo:pclm00:0000246
    DOI: 10.1371/journal.pclm.0000246
    as

    Download full text from publisher

    File URL: https://journals.plos.org/climate/article?id=10.1371/journal.pclm.0000246
    Download Restriction: no
    File URL: https://journals.plos.org/climate/article/file?id=10.1371/journal.pclm.0000246&type=printable
    Download Restriction: no
    File URL: https://libkey.io/10.1371/journal.pclm.0000246?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Jonathan Pickering & Carola Betzold & Jakob Skovgaard, 2017. "Special issue: managing fragmentation and complexity in the emerging system of international climate finance," International Environmental Agreements: Politics, Law and Economics, Springer, vol. 17(1), pages 1-16, February.
    2. Koremenos, Barbara & Lipson, Charles & Snidal, Duncan, 2001. "The Rational Design of International Institutions," International Organization, Cambridge University Press, vol. 55(4), pages 761-799, October.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Reinsberg,Bernhard Wilfried & Michaelowa,Katharina & Knack,Stephen, 2015. "Which donors, which funds ? the choice of multilateral funds by bilateral donors at the World Bank," Policy Research Working Paper Series 7441, The World Bank.
    2. Adela Toscano-Valle & Antonio Sianes & Francisco Santos-Carrillo & Luis A. Fernández-Portillo, 2022. "Can the Rational Design of International Institutions Solve Cooperation Problems? Insights from a Systematic Literature Review," Sustainability, MDPI, vol. 14(13), pages 1-22, June.
    3. Thomas Sommerer & Theresa Squatrito & Jonas Tallberg & Magnus Lundgren, 2022. "Decision-making in international organizations: institutional design and performance," The Review of International Organizations, Springer, vol. 17(4), pages 815-845, October.
    4. Kempf, Hubert & Rossignol, Stéphane, 2013. "National politics and international agreements," Journal of Public Economics, Elsevier, vol. 100(C), pages 93-105.
    5. Jillienne Haglund, 2016. "Leslie Johns. 2015. Strengthening international courts: The hidden costs of legalization. (Ann Arbor, Michigan: University of Michigan Press)," The Review of International Organizations, Springer, vol. 11(1), pages 151-154, March.
    6. Jonas Tallberg & Thomas Sommerer & Theresa Squatrito, 2016. "Democratic memberships in international organizations: Sources of institutional design," The Review of International Organizations, Springer, vol. 11(1), pages 59-87, March.
    7. Randall Stone, 2013. "Informal governance in international organizations: Introduction to the special issue," The Review of International Organizations, Springer, vol. 8(2), pages 121-136, June.
    8. Paul Poast, 2013. "Issue linkage and international cooperation: An empirical investigation," Conflict Management and Peace Science, Peace Science Society (International), vol. 30(3), pages 286-303, July.
    9. Klaus H. Goetz & Ronny Patz & Theresa Squatrito, 2017. "Resourcing Global Justice: The Resource Management Design of International Courts," Global Policy, London School of Economics and Political Science, vol. 8, pages 62-74, August.
    10. Magnus Lundgren, 2017. "Which type of international organizations can settle civil wars?," The Review of International Organizations, Springer, vol. 12(4), pages 613-641, December.
    11. Michael Zürn & Alexandros Tokhi & Martin Binder, 2021. "The International Authority Database," Global Policy, London School of Economics and Political Science, vol. 12(4), pages 430-442, September.
    12. Gabriele Spilker & Tobias Böhmelt, 2013. "The impact of preferential trade agreements on governmental repression revisited," The Review of International Organizations, Springer, vol. 8(3), pages 343-361, September.
    13. Liesbet Hooghe & Tobias Lenz & Gary Marks, 2019. "Contested world order: The delegitimation of international governance," The Review of International Organizations, Springer, vol. 14(4), pages 731-743, December.
    14. Richard Feinberg, 2008. "Voluntary multilateralism and institutional modification: The first two decades of Asia Pacific Economic Cooperation (APEC)," The Review of International Organizations, Springer, vol. 3(3), pages 239-258, September.
    15. Viola, Lora Anne, 2008. "WHO says competition is healthy: How civil society can change IGOs [Die WHO sagt: Wettbewerb ist gesund. Wie Zivilgesellschaft IGOs verändern kann]," Discussion Papers, Research Unit: Global Governance SP IV 2008-307, WZB Berlin Social Science Center.
    16. Sami Bensassi & Arisyi F. Raz, 2025. "Combating trade‐related fraud: do the Financial Action Task Force recommendations bite?," Economica, London School of Economics and Political Science, vol. 92(365), pages 322-347, January.
    17. Liesbet Hooghe & Gary Marks, 2015. "Delegation and pooling in international organizations," The Review of International Organizations, Springer, vol. 10(3), pages 305-328, September.
    18. Besir Ceka and Brian Burgo, 2014. "Discovering Cooperation: A Contractual Approach to Institutional Change in Regional International Organizations," EUI-RSCAS Working Papers p0388, European University Institute (EUI), Robert Schuman Centre of Advanced Studies (RSCAS).
    19. Megan Shannon, 2009. "Preventing War and Providing the Peace?," Conflict Management and Peace Science, Peace Science Society (International), vol. 26(2), pages 144-163, April.
    20. Fabio Franchino & Camilla Mariotto, 2021. "Noncompliance risk, asymmetric power and the design of enforcement of the European economic governance," European Union Politics, , vol. 22(4), pages 591-610, December.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:plo:pclm00:0000246. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: climate (email available below). General contact details of provider: https://journals.plos.org/climate .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.