Project selection phase

Decision making around the allocation of finance and selection of climate finance projects presents particular integrity challenges. Bribery, nepotism and clientelism are all risks where specific interest groups, rather than areas of greatest need, are prioritised. For example, at the international fund level, decisions may be made that favour a specific country or region when there is representation from that country or region on the board.[1] At the national level, government officials may choose to locate projects in particular regions for political gain, or give priority to certain infrastructure projects where opportunities for bribery are greatest.[2]

The fragmented nature of climate finance (from multilateral, bilateral, national, public and private sources) can make it difficult to monitor where resources are coming from, where they are going, who is making the decisions and who is benefiting


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