SDG 9: Industry, Innovation, and Infrastructure | SDG 13: Climate Action
Institutions: Ministry of Finance | NITI Aayog
The IMF’s C-PIMA Handbook (Climate-Public Investment Management Assessment) outlines a comprehensive framework for governments to integrate climate considerations into their entire public investment management (PIM) cycle. Introduced in 2021, the C-PIMA is an extension of the original PIMA framework, designed to help countries identify specific weaknesses in their public processes for developing low-carbon and climate-resilient infrastructure. The Handbook provides detailed guidance to policymakers on how to shift investment from conventional practices toward “green resilient infrastructure” necessary for sustainable development.
The assessment is structured around five key institutions (pillars) crucial for climate-aware infrastructure, with 15 dimensions within them:
Planning (including spatial and urban planning)
Coordination across government entities
Project appraisal and selection (using climate criteria)
Budgeting and portfolio management (tracking climate spending)
Risk management (incorporating climate risks into fiscal analysis)
The C-PIMA process, which involves a multi-week assessment by IMF experts, helps governments develop a prioritized reform action plan to close institutional gaps and improve the efficiency and productivity of climate-related investments.
The C-PIMA framework is a critical diagnostic tool for national authorities to assess their institutional readiness for meeting global climate commitments, such as NDCs, through tangible infrastructure projects. By identifying governance bottlenecks—like weak coordination across ministries or the lack of climate-related criteria in project selection—it ensures that massive public spending on infrastructure actually delivers mitigation and adaptation outcomes.
What is Public Investment Management (PIM)?→ PIM is the set of institutional practices and processes that govern a country’s public investment cycle, including how investment is planned (identifying projects), allocated (budgeting), and implemented (delivery and maintenance). The IMF estimates that countries often lose over a third of the potential benefits of public investment due to inefficiencies in PIM processes.
Follow the full report here: C-PIMA Handbook: Climate-Public Investment Management Assessment - IMF