Global Policy and Thought Leadership Teams, Climate BondsInitiative Table of Contents Summary..................................................................................................................................................2Introduction..............................................................................................................................................4The purpose of this report....................................................................................................................5Consultation process............................................................................................................................6Key terms and definitions.....................................................................................................................6Key elements of credible sovereign transition plans.................................................................................71.Strong commitments, rooted in robust scientific targets..........................................................82.Action plan...............................................................................................................................113.Transparency and accountability.............................................................................................21Next steps and recommendations..........................................................................................................24Appendices.............................................................................................................................................25Appendix 1: Frameworks reviewed....................................................................................................25Appendix 2: Sovereign transition planning documents reviewed......................................................28 Authors:Lily Burge, Magali Van Coppenolle, Mireille Martini, Anna Creed About the Climate Bonds Initiative:Climate Bonds is an international investor-focused not-for-profitorganisation working to mobilise the bond market for climate change solutions. It promotes investment inprojects and assets neededfor a rapid transition to a low-carbon and climate-resilient economy. The mission isto help drive down the cost of capital for large-scale climate and infrastructure projects and to supportgovernments seeking increased access to capital markets to meet climate and greenhouse gas (GHG) emissionreductiongoals. Citation request:If this document or any part of its content is used in the creation of derivative works, pleaseclearly acknowledgeClimate Bonds as a source within the derivative work, including which specific document(s)were used and the extent of their useandinclude the following copyright notice© Climate Bonds Initiative2025. All rights reserved. These attributions are requested so that Climate Bonds can report to its funders and supporters regarding thereach, reuse, and impact of the workit isfunding, supporting, and contributing to. This helps demonstrate thereturn on their investment and supports the continued development of public resources. The use of Climate Bonds documents does not imply endorsement of the derivative work by Climate Bondsunless explicitly agreed. Disclaimer: The information contained in this communication does not constitute investment advice in any form and the Climate BondsInitiative is not an investment adviser. Any reference to a financialorganisation or debt instrument or investment product is for informationpurposes only. Links to external websites are for information purposes only. The Climate Bonds Initiative accepts no responsibility forcontent on external websites. The Climate BondsInitiative is not endorsing, recommending or advising on the financial merits or otherwiseof any debt instrument or investment product and no information within this communication should be taken as such, nor shouldanyinformation in this communicationbe relied upon in making any investment decision. Certification under the Climate Bond Standard onlyreflects the climate attributes of the use of proceeds of a designated debt instrument. It does not reflect the credit worthiness of thedesignated debt instrument, nor its compliance with national or international laws. A decision to invest in anything is solely yours. TheClimate Bonds Initiative accepts no liability of any kind, for any investment an individual or organisation makes, nor for any investment madeby third parties on behalf of an individual or organisation, based in whole or in part on any information contained within this, or any otherClimate Bonds Initiative public communication. Summary This report presents an initial set of recommendations to help investors meaningfully engage with sovereigntransition plansand drivethedevelopment of robust, investablesovereign transition planning.These initialrecommendations will be subject to engagement and consultation and we welcome fee