Climate change
Australia has strengthened its previous $2 billion climate finance commitment and expects to deliver $3 billion towards the global goal over 2020-25, largely through existing ODA commitments.
Australia's climate finance is focused on the Pacific and Southeast Asia. Our climate finance includes bilateral and regional programs, along with contributions to multilateral development banks' climate programming, and multilateral climate funds like the Global Environment Facility and the Green Climate Fund (pledge announced in December 2023).
We also provide climate-related loans to developing countries (either to other governments, or to private sector projects), including through the Australian Infrastructure Finance Facility for the Pacific. In addition, Australia mobilises private finance into new climate investments in developing countries through initiatives such as the Australian Climate Finance Partnership.
Australia has robust methods for counting climate finance. Official Development Assistance (ODA) climate finance is reported annually by region and sector in Australia's Official Development Assistance Statistical Summary, 2022-23 (the ‘Green Book'), in Table 10: Climate Finance, Type of Assistance by Region of Benefit, 2022-23.
Australia’s Climate Finance Provided and Mobilised 2022-23
Australia's 2022-23 ODA climate finance increased by $121.8 million (27 per cent) on the previous year, to $571.1 million. Australia's focus on adaptation to climate change impacts was 62 per cent of its bilateral and regional ODA climate finance.
Total climate finance for 2022-23, including the climate portion of non-ODA grants and loans and private finance mobilised, was $619 million. This brings Australia's total climate finance to $1,608 million for the first three financial years of the 2020-25 commitment period.
Australia's Climate Finance Provided and Mobilised 2020-2023
| Region and type of flow | 2020-21 $m |
2021-22 $m |
2022-23 $m |
|---|---|---|---|
| Pacific Islands bilateral and regional (includes PNG) | 166 | 223.7 | 265.9 |
| Southeast and East Asia | 44.4 | 56.5 | 132.4 |
| South and West Asia | 10.9 | 13.2 | 21.3 |
| Other Asia | 13.4 | 33.8 | 10.0 |
| Sub-Saharan Africa | 7.3 | 9.5 | 11.8 |
| North Africa and Middle East | 0.3 | 0.9 | 0.9 |
| Latin America and the Caribbean | - | 0.1 | 0.1 |
| 'Other': unallocated global programs and multilateral core contributions | 104 | 111.5 | 128.7 |
| Sub-total: ODA Climate Finance - Grants and Loans (per ODA Statistical Summary, 'Green Book') | 346.3 | 449.2 | 571.1 |
| Non-ODA Grants and Loans | 2.4 | 64.8 | 41.6 |
| Private Climate Finance Mobilised | 0.0 | 126.2 | 6.5 |
| Sub-total: Other Climate Finance1 | 2.4 | 191.0 | 48.0 |
| Total: Climate Finance Provided and Mobilised | 348.7 | 640.2 | 619.1 |
| Cumulative total | 348.7 | 988.9 | 1,608.0 |
1Private finance mobilisation can vary significantly from year to year as it relates to specific deals and is subject to market conditions. As such, it cannot be projected with the same accuracy as direct government expenditure.
Transparent reporting
Australia has a strong track record of transparent reporting on both Australia's emissions and on our climate finance activities, including through five UNFCCC Biennial Reports, two Biennial Communication reports, annual reporting to the OECD, and regular reporting through Australia's annual Official Development Assistance: Statistical Summary reports.