KNOWLEDGE
HUB

Case Study

Initial Experiences of the Community of Practice on Supporting Direct Access to Climate Finance

12am, May 07th, 2019
Benin, Costa Rica, Ethiopia, Jamaica, Kenya, Morocco, Namibia, Peru, Rwanda, Senegal, South Africa, Middle East and North Africa, Latin America and Caribbean, Sub-Saharan Africa

Developing countries are highly vulnerable to climate change and thus need financing for adaptation and low-carbon development. The international community has established multilateral funds to support mitigation and adaptation in these countries. The Adaptation Fund (AF) and the Green Climate Fund (GCF), two of the world’s largest climate funds, are committed to providing accredited institutions in developing countries with direct access to climate finance. Direct access allows countries to access climate finance and manage all aspects of the project cycle, from design to implementation and monitoring, directly or through accredited national institutions (CSE et al., 2016). The Community of Practice, which serves as a framework for South-South interaction for sharing and learning between AF and GCF direct access entities, has been initiated by several countries. The main objective of this initiative is to strengthen the capacity of African countries to access climate funds. Activities implemented or planned involve: developing an online platform for sharing experiences, developing a capacity-building program, organising sub-regional forums and a regional workshop for COPs, and organising a training of trainers. Entities seeking accreditation or developing funding proposals find it particularly useful to engage with peers and establish a Community of Practice to support direct access. The case study qualifies as a good practice due to its strong stakeholder engagement that meets the needs of accredited entities, its technical and financial feasibility, and its innovative character. The progress made under this initiative has created an enabling environment for: sharing information on factors that contribute to success; transferring best practices; developing innovative solutions; and building the capacity of a wide range of institutions.

Key Impact

The activities of the Community of Practice already have and are anticipated to have the following impacts:

  • ENHANCING INSTITUTIONAL CAPACITIES, POLICIES AND PROCEDURES OF THE INSTITUTIONS INVOLVED: The sharing of experiences through the platform allowed to upgrade the institutional capacities of accredited entities and to create a pool of certified experts.
  • INCREASED SOUTH-SOUTH LEARNING: Through a South-South learning and training platform, the initiative will constitute a lever for mobilising financial resources leading to policies that are better adapted to the needs of developing countries. The importance of the activities has raised the inte- rest of the AfDB, which has mobilised resources to initiate the development of a training of trainers program. The resources of the AF have also been mobilised to pilot the platform with WRI.
  • ENHANCED CLIMATE CHANGE RESILIENCE: Through development/project formulation training with modules on the resilience of various sectors, the latter can be strengthened over the long term.
  • IMPROVED PROCEDURES AND FINANCIAL MANAGEMENT OF INSTITUTIONAL RESOURCES: In the long run, the institutional procedures will be better formalised and aligned with the standards necessary to access funds.

Institutions Involved

  • Centre de Suivi Ecologique (CSE);
  • National Environment Management Authority (NEMA) of Kenya;
  • Fund cooperacion of Costa Rica;
  • South African National Biodiversity Institut (SANBI);
  • Development Bank of South Africa;
  • Agency for Agricultural Development of Morocco (ADA);
  • National Environment Fund from Benin (FENEC);
  • Environmental Investment Fund (IEF);
  • Africa Climate Change Fund (ACCF) of the African Development Bank (AfDB);
  • Ministry of Finance and Economic Cooperation of the Federal Democratic Republic of Ethiopia (MOFEC);
  • Ministry of Natural Resources (MINIRENA) of Rwanda;
  • Peruvian Trust Fund for National Parks and Protected Areas (PROFONANPE);
  • Planning Institute of Jamaica (PIOJ).