Paris Collaborative on Green Budgeting

Ministry of Finance and Public Credit, Mexico

1

3Environment

Specific Goals

1

5

1• Climate change (adaptation and mitigation) cross-

cutting budget since 2013.

2• Linking budget and Sustainable Development Goals

since 2018.

3• Linking instruments and Green budget commitments

in progress for the Budget Proposal 2019.

1

7

Biodiversity

Sustainabledevelopment

Green fiscal policyNPCC

Environmental strategy: Integration of four environmental goals into budgeting process

1. Mitigation of climate change

2. Adaptation to climate change

3. Protection of biodiversity

4. Water and air quality

ClimateChange

-22% Greenhouse

EffectGases

8

Prototype Green Budget Statement, OECD

Analysis Environmental Goals -National Planning

ContributionSectorsImpact (+/-)

Sector ContributionBudget programsBudget allocationImpact (+/-)

Mexico’s Green Budget

Statement components

Four Goals Sectors related to

each goal Contribution

environmental units (commitments)

Impact by goal • Positive:

(direct/ indirect)

• Negative Fiscal Policy: tax

system

Analysis of the environmental goals budget programs 2018

Identify Activities and budget allocations

Group Budget allocations and fiscal instruments according to its goals

Indicators related to objectives

10

NationalStatistics

Office

Ministry of Finance

Expenditure and RevenuesUnderministries

Ecological and Climate Change

National Institute

Planning, spending and

evaluation areas of Ministries

11

Analysis of EG & BP Alignment

Identify contribution

12

Accounting Harmonization

Administrative classification

Who spends?

Economic classification

What it is spend on ?

Functional classification

What it is spend for ?

Identify

Sector

Program

Unit

Activities

13

Nationally Determined Contribution

Green Growth, OECD

indicators

Linked to the SDGs

indicators

Indicators related to new Cross-Cutting Climate Change budget

• Evaluate changes in a given year.

• Report how the budget;

converge (positive or

negative), with

environmental goals.

• Relevant benchmarks for

each of the four

environmental goals.

• Allows international

comparisons.

14

Nationally Determined Contribution

Green Growth, OECD

indicators

Linked to the SDGs

indicators

12 selected

indicators

15

Mexico’s Environmental Strategy

Contributions

Sect

ors

Sect

ors

Sect

ors

Sect

ors

Inte

rnat

ion

al c

om

mit

men

ts

Transversal strategy

BenchmarksEnvironmental Goals

Mitigation of climate change

Adaptation to climate change

Protection of biodiversity

Water and air quality

Budget Programs direct contribution

Budget Programs hint contribution

Budget Programs externality

Budget Programs direct contribution

Budget Programs hint contribution

Budget Programs externality

Budget Programs direct contribution

Budget Programs hint contribution

Budget Programs externality

Budget Programs direct contribution

Budget Programs hint contribution

Budget Programs externality

NDC

bu

dge

t al

loca

tio

ns

bu

dge

t al

loca

tio

ns

bu

dge

t al

loca

tio

ns

bu

dge

t al

loca

tio

ns

Resilence

SpeciesHabitats

Quality

Environmental units

Fisc

al P

olic

y : T

ax s

yste

m

Indicator

Indicator

Indicator

Indicator

Analysis Environmental Goals

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