Climate finance Climate Investment Funds (CIF)
Their goal is to finance transformative action for climate change mitigation and adaptation in developing countries and emerging economies. Financing gaps are to be closed and innovative solutions piloted. The CIF differs from the other multilateral climate funds in that it exclusively employs multilateral development banks as implementing organisations.
The CIF comprises two funds: the Clean Technology Fund (External link) (CTF) and the Strategic Climate Fund (External link) (SCF).
Clean Technology Fund (CTF)
The CTF helps middle-income countries introduce low-carbon technologies harbouring great potential for emissions reduction.
Fields in which the Fund invests include renewable energy, energy efficiency improvement, low-emission transport, energy storage technologies and the socially equitable phase-out of coal (just transition).
Strategic Climate Fund (SCF)
The SCF serves as an overarching framework for programmes aimed at specific climate change challenges or sectoral responses. The programmes are geared towards piloting innovative approaches that have the potential to contribute to the transformation. Areas eligible for investment include forest conservation, nature-based solutions to combat climate change, actions to boost resilience to the adverse effects of climate change, and the expansion or grid integration of renewable energies with a focus on low-income countries.
CIF projects to date have helped reduce or avoid 32.6 billion tonnes CO₂-equivalent emissions. As part of sustainable forestry and climate resilience projects, the Funds have already helped to place over 370 million hectares of land under sustainable forest management. They have supported the installation of over 13 gigawatts of renewable energy capacity, and facilitated energy access for 1.8 million people.
Since the CIF's establishment, 15 countries have contributed over 11 billion US dollars. Germany has contributed a total of 990 million euros. Through its targeted programmes (External link), the CIF has supported more than 375 projects in 72 countries so far.
As at: 19/06/2024