Green Climate Fund and Somalia: Accelerated USD 100 million investment partnership
Press release – 12 Mar 2024
Mogadishu, Somalia – The Green Climate Fund’s (GCF) Executive Director, Mafalda Duarte headed the first-ever GCF delegation to Somalia, announcing an accelerated programme of climate action investment – anticipated at USD 100 million over the next year.
Duarte released her 50by30 vision at the UN Climate Action Summit in September 2023, announcing intentions to build a fund capable of impactfully and efficiently managing USD 50 billion by 2030 – with a clear focus on helping the most vulnerable countries and communities.
Acknowledging the vision provided by the Government of Somalia, GCF is ready to commit to a strategy of investments and readiness support of over USD 100 million to Somalia by mid-2025, as well as a long-term commitment to empower Somalia to develop country-priority projects and subsequent investments.
During a series of meetings with H.E. President Hassan Sheikh, the Honorable Prime Minister Hamza Barre, the Minister of Environment and Climate Change, Khadija Mohamed Al-Makhzoumi, Cabinet ministers, the private sector and civil society, Duarte unveiled an investment pipeline including:
- GCF-Acumen “Hardest-to-Reach” project will provide affordable, reliable off-grid energy access to unelectrified populations in Sub-Saharan Africa. The programme prioritises capital investment and technical assistance support in Somalia, accelerating disbursements of over USD 3 million for 2024-2025, with funding from GCF and other funders catalysed by GCF’s funding.
- Accelerated funding disbursements from the approved portfolio and immediate pipeline to hit-the-ground in the short term (2024 and early 2025), including climate-smart agriculture, resilience, and food security building projects of an estimated USD 110 million value, subject to GCF Board approval.
- Explore piloting access by Somali institutions to readiness (capacity building) resources, to develop further institutional capacity, strengthen coordination mechanisms, and identify and prepare national institutions that could access GCF resources directly in the long term.
Recognising the need for the Government of Somalia to coordinate climate finance and develop robust concept notes for GCF investment – GCF also undertook to explore direct readiness support of up to USD 7 million to further capacitate the Ministry of Environment and Climate Change in its technical and coordination role.
Green Climate Fund Executive Director, Mafalda Duarte said: “Somalia is the second most vulnerable country to climate change in the world, despite contributing only 0.03 per cent of total global greenhouse gas emissions. The interlinked impact of climate change and lack of security has had a devastating effect on people, causing some 43,000 excess deaths in 2022 due to drought, displacing more than six million people, pushing Somalis away from their homes into overcrowded towns and cities. Recurrent drought and regular flooding leads to failed crops, loss of livestock and the country’s chronic food insecurity problems. GCF is committed to working with the Government of Somalia and its partners to better address the extreme vulnerability the country and its population face.”
Somalia has achieved significant progress in recent years, especially in establishing political institutions, robust public financial management systems and improving security.
Duarte acknowledged the maturing of Somalia’s institutional environment, commenting that climate finance modalities now need to respond: “GCF is committed to supporting the government with what it needs, so that together with the flourishing private sector and civil society organisations it can develop priority projects and investments to deliver sustainable, integrated and impactful climate action for durable peace and prosperity.”
Notes to editors:
- The Green Climate Fund (GCF) is the world’s largest dedicated climate fund. GCF’s mandate is to foster a paradigm shift towards low emission, climate-resilient development pathways in developing countries.
- GCF has over 250 projects, a portfolio of USD 13.9 billion (USD 53 billion including co-financing) delivering transformative climate action in more than 129 developing countries.
- It also has a readiness support programme that builds capacity and helps countries develop long-term plans to fight climate change. GCF is an operating entity of the financial mechanism of the United Nations Framework Convention on Climate Change (UNFCCC) and serves the 2015 Paris Agreement, supporting the goal of keeping average global temperature rise well below 2°C.
- Visit GCF Somalia country page here.
