The Caribbean Development Bank (CDB) is establishing a Climate Change Project Preparation Fund.
According to the CDB, the initiative will assist its Borrowing Member Countries (BMCs) in identifying and developing viable proposals to access climate finance from the Bank and other international donor organizations.
A CDB release said the Fund will be central to the Bank’s push to increase the climate funding available to the Region by addressing the implementation challenges faced by BMCs
The release observed that despite significant vulnerability and considerable needs, Caribbean countries have had limited success securing funding for climate action initiatives.
The release noted that among the obstacles are the extensive prerequisites and project preparation necessary to qualify for concessional finance from development partners and multilateral climate funds.
“Right now, climate finance flows to the Caribbean pale in comparison to the needs of the Region,” Ms. Valerie Isaac, CDB’s Division Chief, Environmental Sustainability, explained.
Isaac said that a major barrier is the challenges in creating viable proposals.
She observed that the process could be resource-intensive and can require specialised expertise.
“CDB’s Climate Change Project Preparation Fund will provide resources to develop and implement climate action projects which will enable the Region to mobilise climate finance at a much greater scale,” the CDB official disclosed.
Isaac said this was necessary to achieve climate change adaptation and mitigation goals.
The CDB stated that it is currently financing preparatory work to institute the Climate Change Project Preparation Fund.
It should become operational by the final quarter of 2024.
Headline photo: File image of 2022 flooding in Saint Lucia.
