Green Climate Fund Approves $687 Million in Investments
Funding | Feb 21, 2025 | Zawya
The Green Climate Fund (GCF), headquartered in Seoul, has approved $686.8 million in financing, which is expected to mobilize approximately $1.5 billion for climate-related projects across 42 countries. This takes GCF's total project portfolio to nearly $17 billion. The initiatives include enhancing forest resilience in Serbia and bolstering climate resilience in Togo. This approval follows the U.S. government's recent withdrawal of financial pledges to GCF. Despite this setback, the GCF board has emphasized the importance of increasing finance access for communities on the climate crisis frontline. GCF plans to establish a regional presence to deepen its impact. Africa receives the most investment at 38%, followed by Latin America and the Caribbean (32%), Asia Pacific (27%), and regions including Eastern Europe, Central Asia, and the Middle East (3%).
Sectors
- Climate Finance
- Environmental Services
Geography
- Global – The investments impact 42 countries worldwide across various continents.
- Africa – A significant portion (38%) of the investments is allocated to African countries.
- Asia Pacific – The region receives 27% of the funds, indicating its importance in GCF's investment strategy.
- Latin America and the Caribbean – The area is targeted with 32% of investments for climate-related projects.
Industry
- Climate Finance – The article discusses the significant investments by the Green Climate Fund aimed at climate change mitigation and resilience enhancement projects worldwide.
- Environmental Services – Projects include ecological initiatives like enhancing forest resilience and adapting vulnerable communities to climate impacts, reflecting the environmental aspect of the investments.
Financials
- $686.8 million – Amount approved by GCF for new climate projects.
- $1.5 billion – Total expected mobilization from the approved GCF investments.
- $17 billion – Value of the GCF's total project portfolio after recent approvals.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Green Climate Fund (GCF) | Funding Entity | Organization | The world's largest fund supporting climate resilience projects in developing countries. |
| Leif Holmberg | Co-chair of the GCF Board | Person | Co-chair of the GCF board, instrumental in approving recent investments. |
| Mafalda Duarte | Executive Director of GCF | Person | GCF Executive Director focusing on increasing regional impact of projects. |
| U.S. Government | Previous Funder | Government | Recently withdrew pledges of financial support to the Green Climate Fund. |