Green Climate Fund approves $687m in investments

LONDON: The Green Climate Fund (GCF), the world’s largest fund helping developing countries deal with the impacts of climate change, said on Friday it had approved $686.8 million in financing at a board meeting this week.

The Seoul-based group said the investment would help draw in other financing partners and ultimately mobilise around $1.5 billion for 11 projects across 42 countries, providing support to 115 million people.

Among them was a project to enhance forest resilience in Serbia and one to bolster the climate resilience of vulnerable communities in Togo. Together, they take the GCF’s portfolio to nearly $17 billion, most of it in the form of grants.

“During these challenging times, GCF is showing how countries are able to reaffirm their individual and collective commitment to accelerating support to climate-vulnerable communities,” said GCF board Co-chair Leif Holmberg.

“It demonstrates that increasing access to vital finance on the frontlines of the climate crisis remains a top priority for the Board.”

The board agreement follows a recent decision by the US government to rescind pledges of financial support to the GCF, a spokesperson said, part of a broad overhaul of US development efforts after the election of Donald Trump.

As well as announcing the new funds, the GCF board also agreed to establish “a regional presence” to bring it closer to the countries it serves and increase the climate impact of its projects, it said, without giving details.