Thematic bond technical assistance to finance Peru's green economic recovery

The project will support the Ministry of Economy and Finance (MEF) to develop and implement a software for Climate Budget Tagging (CBT). The CBT will identify, measure and monitor climate-relevant public expenditure at the moment in which they are included in the public budget. CBT will enable MEF’s Treasury Department to transparently and efficiently identify green, social and sustainable projects that qualify to be financed with the USD 3.2 billion or EUR 1 billion in proceeds from Peru´s recent thematic bond issuances, or future thematic bond issuances. Besides, CBT will allow the government to monitor the share of public expenditures aligned with NDC and SDG targets, and help build accurate climate finance MRV frameworks, while at the same time strengthening accountability and transparency. The project will support MEF produce its first Sustainability Bond Impact Report