At its twenty-seventh meeting, the GCF Board adopted the Updated Strategic Plan (USP) for the first replenishment period 2020-2023 (GCF-1) and set new portfolio targets under the Fund’s investment framework.
During this period, the GCF is required to maintain a 50:50 balance between adaptation and mitigation funding; with at least half of adaptation funding allocated to particularly vulnerable countries (SIDS, LDCs and Africa); appropriate geographical balance; significantly increase funding channeled through Direct Access Entities (DAEs) and its Private Sector Facility; and significantly increase mobilization of private sector finance.
The GCF is also expected to exceed mitigation and adaptation results relative to the Initial Resource Mobilization (IRM) period (2015-2019) and improve its speed, predictability, efficiency, effectiveness and transparency to maximize the impact of GCF’s climate action.
To achieve these strategic objectives within its existing resource envelop, and ensure a balanced portfolio over time, the GCF will review and manage the funding proposal pipeline periodically and advise NDAs and AEs on programming directions and opportunities.
In the short-term, this implies giving priority to projects and programmes on adaptation, those submitted by DAEs and those that mobilize private sector finance. In this regard, the GCF welcomes new and revised proposals that contribute to these strategic objectives with a view to building a strong, country-driven pipeline, delivering a paradigm shift towards low-emissions, climate-resilient development.