Green Climate Fund (GCF)
Posted on : 29 Jan 2020Views: 1047
- GCF was set up by the 194 countries who are parties to the United Nations Framework Convention on Climate Change (UNFCCC) in 2010, as part of the Convention’s financial mechanism. It aims to deliver equal amounts of funding to mitigation and adaptation, while being guided by the Convention’s principles and provisions.
- GCF helps developing countries limit or reduce their greenhouse gas (GHG) emissions and adapt to climate change. It seeks to promote a paradigm shift to low-emission and climate-resilient development taking into account the needs of nations that are particularly vulnerable to climate change impacts.
- The Green Climate Fund is the only stand-alone multilateral financing entity whose sole mandate is to serve UNFCCC.
- GCF’s activities are aligned with the priorities of developing countries through the principle of country ownership, and the Fund has established a direct access modality so that national and sub-national organizations can receive funding directly, rather than only via international intermediaries.
- The Fund’s investments can be in the form of grants, loans, equity or guarantees.
- NABARD is the first entity from India to be accredited as Direct Access Entity (DAE). The signing of AMA between GCF and NABARD is an essential first step for accessing the GCF resources to help safeguard the lives, property and livelihoods of millions of people against climate change impact.
- India has nominated a total of five direct access entities for accreditation by the GCF. The public sector entities are NABARD and Small Industries Development Bank of India (SIDBI). The private sector entities nominated are YES Bank, IDFC Bank and IL&FS Environmental Services. So far, NABARD and SIDBI have been accredited by the GCF.
Article Related Questions
With reference to the Green Climate Fund (GCF), consider the following statements
1.It supports only climate change mitigation projects in developing countries.
2.It is the only stand-alone multilateral financing entity whose sole mandate is to serve UNFCCC.
3.NABARD is the first entity from India to be accredited as Direct Access Entity to GCF.
Which of the above statements are correct?
1.1 and 2 only
2.2 and 3 only
3.1 and 3 only
4.1, 2 and 3
Right Ans : 2 and 3 only