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Climate finance mechanisms (CFMs) are a set of institutional instruments that govern finance that are used to support climate action activities aimed at mitigating or adapting to climate change. Climate action, gender and poverty are entwined, which means CFMs have the potential to either reduce or worsen inequality. At the national level, CFMs can influence inequalities through the way they are designed, planned, administered and monitored. Therefore, an urgent need exists for gender-responsive and propoor CFMs, particularly in developing countries. These countries face acute vulnerabilities to climate change, face budget constraints to tackle those vulnerabilities and have underlying economic and gender inequities. To date, little analysis has been conducted into how developing countries deliver and administer climate finance (Atmadja et al. 2018). Worldwide, there is growing recognition that climate finance needs to integrate gender concerns (Habtezion 2013). At the same time, interest and financing for forestbased climate actions have skyrocketed in recent years, putting Indonesia at the forefront. In 2019, Indonesia established the Public Agency for Environment Fund Management (BPDLH), a dedicated mechanism to manage funds for environmental and climate action. In August 2020, Indonesia received more than USD 100 million in resultsbased payments from the Green Climate Fund for reducing forest-based emissions in 2014 to 2016.

Making climate finance work for women and the poor: Insights from national climate finance mechanisms in Indonesia