The Green Climate Fund (GCF) has approved what it says is a ‘record volume’ of climate finance for developing countries, at its board meeting held in Papua New Guinea.
Some $1.225 billion in funding for 17 climate projects was approved at the meeting – the highest amount ever approved at a GCF board session – meaning that the Fund now has a portfolio of 314 projects amounting to $18 billion in GCF resources, or $67 billion including co-financing.
The GCF board has also agreed to a ‘comprehensive reform package’ for its accreditation model, which will seek to enhance transparency, responsiveness, and efficiency, while also increasing fairness and country ownership.
‘Record amount of funding’
“This has been a very successful board meeting, with a record amount of funding and the adoption of some major reforms to make GCF more efficient and effective,” commented GCF co-chair Leif Holmberg.
“I am delighted that the board has approved comprehensive reforms to its accreditation framework – the largest policy package ever brought to the board – which will speed up accreditation whilst maintaining accountability, allowing us to further grow our network of partners, particularly direct access entities.”
The new projects that will receive funding include the GCF’s first single-country projects in Mauritania, Saint Lucia, and Papua New Guinea, as well as adaptation and mitigation efforts in Least Developed Countries (LDCs), Small Island Developing States (SIDS), and African nations.
The GCF has made a $227 million equity investment into the Global Green Bonds Initiative, which seeks to unlock green bond markets in Sub-Saharan Africa, and a $200 million investment to drive green finance in India.
‘Stepping up’
“I am very proud that this board meeting has approved a record amount of new climate finance for developing countries,” added Amb. Seyni Nafo, co-chair. “GCF’s $1.225 billion investment in these new projects will improve resilience and accelerate mitigation efforts in 36 countries around the world.
“At a time when collective climate action is more needed than ever, GCF is stepping up to deliver on its mandate. I am also pleased that the board is moving ahead on regional presence, which will bring GCF much closer to developing countries.” Read more here.
