IDB, with support from NDF, is set to replenish its NDC Pipeline Accelerator Fund
NDF has signed an agreement with the Inter-American Development Bank (IDB) for a EUR 10 million new contribution to replenish the IDB’s NDC Pipeline Accelerator Trust Fund (ACL).
Photo: ESCI/Inter-American Development Bank
This financing will allow the ACL to continue supporting countries in Latin America and the Caribbean in achieving the Sustainable Development Goals (SDGs) and the Paris Agreement targets, while placing a greater emphasis on the region’s most acute climate challenges. The ACL will continue prioritising small and vulnerable countries in the region. However, it will have a much larger climate adaptation focus, with increased investments in nature-based solutions, circular economy, blue and green economy and e-mobility. Equally, the ACL will have gender equality and inclusion mainstreaming at the core of its investment decisions.
With NDF as its anchor donor, the ACL was established in 2017 and has become IDB’s flagship fund for financing climate action and mobilising capital towards climate positive investments with the public and private sector actors. Specifically, the ACL provides support to countries in the region with early-stage technical assistance for climate-resilient and low-carbon projects, aligning with the SDGs and Nationally Determined Contributions (NDCs) of the Paris Agreement.
To date, and before this new contribution from NDF, ACL has received more than USD 25 million from donors, including NDF, the Netherlands’ Ministry of Foreign Trade and Development Cooperation, the Swedish Ministry of Foreign Affairs, the Austrian Federal Ministry of Finance, and the Ministry of Foreign Affairs of Finland.
Since its inception, ACL projects have enabled USD 4.75bn of IDB and partners lending resources towards public and private climate positive investments.
In this new stage of the fund, existing donors, with NDF in a leading role have worked together to create an improved results management framework, placing greater emphasis on adaptation impacts, resource mobilisation, and on increasing gender equality and inclusion. The aim of this work was to measure and highlight the significant impact of the ACL to attract potential new donors.
“As the first donors of the Fund, seeing the ACL grow and having meaningful impact in the region has made us proud. We have worked together with IDB to mainstream gender equality and inclusion in the new design of ACL, which will help to find climate solutions and build ACL’s capacity to measure its impact to have even better results moving forward. With the enhanced results management framework, we are committed to delivering climate action, monitoring our impact and working towards better climate resilience of the region,” said Satu Santala, Managing Director of NDF.
Read the full press release here.
Learn more about the NDC Pipeline Accelerator Fund:
