Taxing for the Climate: Leveraging Taxation for Climate Finance in Developing Countries, with Insights from Literature and a Case Studies

The study explores how taxation—through carbon pricing, environmental levies, and green fiscal policies—can mobilize climate finance in developing countries. It identifies key challenges and highlights the potential of incentives, cooperation, and private sector engagement. The findings stress that well-designed, equitable taxation aligned with broader policies can significantly enhance sustainable climate action.