Green Climate Fund (GCF)
The Green Climate Fund (GCF) was set up in 2010 and aims to promote the paradigm shift towards low-emission and climate-resilient development pathways by providing support to developing countries to limit or reduce their greenhouse gas emissions and to adapt to the impacts of climate change, taking into account the needs of those developing countries particularly vulnerable to the adverse effects of climate change. The Green Climate Fund (GCF) is an operating entity of the Financial Mechanism of the UNFCCC and the Paris Agreement.
GCF’s places a strong emphasis on country ownership, and activities should be aligned with the priorities of developing countries. Fund has established a direct access modality so that national and sub-national organisations can receive funding directly, rather than only via international intermediaries. The Fund also targets societies that are vulnerable to the effects of climate change, in particular Least Developed Countries (LDCs), Small Island Developing States (SIDS), and African States.
The Fund has identified 8 impact areas through which to deliver major mitigation and adaptation benefits:
Shifting to low-emission sustainable development pathways through:
- Low-emission energy access and power generation
- Low-emission transport
- Energy efficient buildings, cities and industries
- Sustainable land use and forest management
Increasing climate-resilient sustainable development for:
- Enhanced livelihoods of the most vulnerable people, communities, and regions
- Increased health and well-being, and food and water security
- Resilient infrastructure and built environment to climate change threats
- Resilient ecosystems
Within the GCF, funding is also available for project preparation activities and climate finance “readiness” . For project preparation support, the Project Preparation Facility (PPF) supports Accredited Entities (AEs) in project and programme preparation. It is especially targeted to support direct access entities, and micro-to-small size category projects. Please see the separate entries on GCF readiness support and the GCF Project Preparation Facility.
As of October 2021, the total size of the GCF portfolio is USD 10 billion, representing USD 37.2 billion in assets, including co-financing.
On a rolling basis.