Annex
Definitions of
Key Terms
CLIMATE CHANGE:
A change in climate that can be identified by changes in the mean and/or variability of its properties
and that persists for an extended period, typically decades or longer, whether due to natural variability
or as a result of human activity.
CLIMATE CHANGE ADAPTATION:
An activity should be classified as adaptation-related if it intends to reduce the vulnerability of human
or natural systems to the impacts of climate change and climate-related risks by maintaining or
increasing adaptive capacity and resilience.
CLIMATE BUDGET:
The total amount of public financing directed towards programs, activities, and projects (PAPs) that
are responsive to climate change adaptation and/or climate change mitigation.
CLIMATE BUDGETING:
Classifies public expenditures through a process called climate change expenditure tagging, which
uses a typology of the climate responses as identified in government policies.
CLIMATE CHANGE MITIGATION:
A PAP should be classified as climate change mitigation if it aims to reduce greenhouse gas (GHG)
emissions, directly or indirectly, by avoiding or capturing GHGs before they are emitted in the
atmosphere or by sequestering those already in the atmosphere by enhancing ‘sinks’ such as forests.
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