India is highly vulnerable to climate change and ranks ninth among the countries most affected between 1995 and 2024, as per the Climate Risk Index 2026. More than 75% of the districts in India face high exposure to climate risks, such as floods, droughts, cyclones, and heatwaves.
India has strong national- and state-level climate policies, such as the National Action Plan on Climate Change (NAPCC), State Action Plans on Climate Change (SAPCCs), and District Disaster Management Plans (DDMPs). However, efforts at the district level remain constrained and fragmented due to limited evidence and a lack of granular data. Public budgets alone are insufficient to cover the rapidly growing costs of climate adaptation, which is estimated to reach USD 1 trillion by 2030. Furthermore, coordination with the private sector remains limited. These create a gap between climate risks, planning, and actual investments.
The United Nations Development Programme (UNDP), in partnership with the NITI Aayog and the Foreign, Commonwealth and Development Office (FCDO), engaged MSC to address these gaps. The initiative sought to strengthen climate adaptation planning and financing at the district level, with a focus on two districts each in Jharkhand and Odisha.
MSC followed a four-phase approach:
MSC analyzed national and global climate adaptation frameworks, assessed state-level climate finance landscapes, and developed a district-level assessment methodology that integrated climate science, GIS-based spatial analysis, and economic modeling.
The project sought to generate evidence to support actionable financing pathways by linking adaptation priorities with funding sources and instruments. It produced district-level adaptation financing strategies and a pipeline of adaptation projects to improve district planning, strengthen institutions, and mobilize finance for climate-resilient development.
The UNDP commissioned the project in partnership with the NITI Aayog and the FCDO.
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