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Strengthening Trust and Impact: Transparency as the Key for Effective NDCs in Developing Countries

24 June 2025

On the margins of the June Climate Meetings (SB62), the Initiative for Climate Action Transparency (ICAT) and the NDC Partnership organized a workshop titled “Transparency as a Basis for Effective NDCs: Overcoming Barriers, Making Connections, and Unlocking Benefits for Climate Action.”

The event highlighted a clear message: transparency is more than a reporting obligation; it is a foundation for effective climate action. Closer integration of transparency into the Nationally Determined Contribution (NDC) processes enables data-driven, transformational climate action. 

Article 13 of the Paris Agreement introduces the Enhanced Transparency Framework (ETF), which has a dual objective: firstly, to build mutual trust and confidence, and secondly, to support effective implementation. The second objective is crucial for decision-makers. Transparency enables countries to strengthen their NDCs, design and implement more targeted and impactful policies. In this manner, therefore, transparency can serve as a framework for continuous improvement, enabling progressively stronger NDCs and supporting realistic ambition under the Paris Agreement.

This year, as countries prepare their third-round NDCs (NDC 3.0), they have the opportunity to use insights and lessons learned from last year’s Biennial Transparency Reports, as well as from implementing previous NDCs. Countries are using these experiences to inform more realistic, credible, and ambitious climate commitments, with data as their foundation.

Workshop participants engage in discussions.

Across various thematic areas relevant to the NDC process, representatives from nine countries explored the role of transparency. These include greenhouse gas emission projections, implementation plans, financing strategies, and tracking mechanisms. Key takeaways from the discussions include the following: 

  • Transparency helps coordinate and engage stakeholders across technical, political and sectoral levels. Integrating a whole-of-society approach and fostering collaboration between ministries, civil society, and the private sector is critical for NDC success. Engaging the financial sector is essential but remains particularly challenging. In some countries, security concerns and internal instability dominate national priorities, limiting the attention and resources allocated to climate action. 
  • Transparency is informing NDC 3.0 processes. Evaluating previous NDCs as part of the NDC 3.0 development process has highlighted key lessons, such as the importance of developing robust indicators and tracking frameworks concurrently with the NDC, and ensuring stakeholder engagement processes from the outset to ensure coherence and ownership of climate policies and measures. 
  • The consistent use of models for greenhouse gas emission projections is vital for planning and reporting, supporting both the Biennial Transparency Reports (BTRs) and the NDCs. Some countries combine user-friendly overarching tools, such as ICAT’s GHG Abatement Cost Model, which is suitable for capacity and data-constrained contexts, with more detailed, sector-specific tools. It is important to maintain consistency in the analysis and interpretation of data in different instruments and reports.
  • Mainstreaming climate finance into national development plans and budgetary processes creates awareness among policymakers and enhances resource mobilization for NDC implementation. Other examples for improving the management and mobilization of climate finance include establishing dedicated national climate change funds and strong climate finance tracking frameworks. Resources like the ICAT Climate Finance Transparency Guide can be helpful. 
  • Constructive interaction between technical and political levels allows for data to actively inform decision-making, ensuring that NDCs include strong and realistically implementable commitments. Well-trained technical teams capable of formulating evidence-based recommendations at the political level are essential. A positive trend is seen in aligning technical teams responsible for emissions accounting with the NDC 3.0 update. However, capacity constraints remain a key challenge. Many countries rely on the same experts for multiple climate-related documents, while others depend heavily on consultants.

Workshop participants engage in discussions.

ICAT and the NDC Partnership are ready to support countries in leveraging transparency to strengthen both the design and the implementation of NDCs. The NDC Partnership brings together more than 240 members, including more than 130 countries and more than 110 institutions, to deliver on ambitious, transformational climate action that helps achieve the Paris Agreement and drive sustainable development. ICAT provides targeted, demand-driven support to develop, enhance and operationalize national transparency frameworks in line with national development priorities. Since its creation in 2015, ICAT has engaged with more than 70 developing countries worldwide and developed a comprehensive suite of over 40 free-to-use, practical tools and methodologies to support transparency efforts.

ICAT recently launched a call for Expressions of Interest from countries wishing to join as new ICAT partner countries. This support spans all components of the Paris Agreement’s ETF, including transparency in mitigation and adaptation policies and measures, as well as data collection and analysis for NDC development and tracking progress related to NDC implementation.

Workshop participants engage in discussions.