Enhancing direct access to the Green Climate Fund

This policy brief, prepared in the context of the Climate Finance Advisory Service (cdkn.org/cfas), discussed options and important aspects for enhancing direct access in the Green Climate Fund. Key messages include:

• The Green Climate Fund (GCF) Board must put ‘access modalities’ or the procedures and mechanisms for funding in place as soon as possible, so it can start disbursing funds for activities. In the meantime, it could consider the conditional, interim accreditation of institutions that have been accredited by other climate funds.
• The Board should learn from the experiences of others, particularly the Adaptation Fund and the Global Environment Facility (GEF), regarding how to provide developing countries with direct access to climate finance. The Board should note some of the particular barriers to direct access in the past – for example, difficulties in achieving fiduciary standards – and the need to build developing countries’ capacity in these areas.
• The degree of direct access to the GCF will also depend on each country’s ability to devolve decision-making power to the lowest effective level in its governance structure, at the national or subnational level.