9 June 2014
by Stephen Leonard
The Green Climate Fund (GCF) passed a major milestone at the 7th Board meeting in Songdo, South Korea in May.
The 24 member Board have now agreed on the remaining six essential items to enable the capitalization of the fund and have set down a timetable of meetings in June and November 2014 to coordinate financial contributions.
Industrialized countries have committed to provide funds rising to US$100 billion per year by 2020 to support adaptation and mitigation actions by developing countries. These funds are expected to come from a mix of public and private sources.
Although the UNFCCC has called to mobilize the initial capitalization of the GCF at an amount of at least US$10 billion, many seek higher amounts having regard to the US$30 billion of fast-start financing between 2010-2012. The point has been made that the GCF Board should not be low in its ambition.
The GCF has become increasingly important in relation to prioritisation of finance to the land use and forest sectors. A recent study undertaken by CIFOR across twenty-three REDD+ projects in six countries has shown that finance and tenure insecurity are the main barriers to the implementation of REDD+. If REDD+ is to succeed, the issue of finance needs resolution as a matter of some urgency.
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