Policies & strategies

Investment framework

The GCF’s Investment Framework sets out the parameters which guide GCF’s investment decision-making and its assessment and consideration of Funding Proposals. The Investment Framework establishes the Fund’s investment policies, investment strategy and portfolio targets, and investment guidelines, establishing the definitions of and metrics for applying GCF’s 6 investment criteria: Impact potential, Paradigm-shift potential, Sustainable Development potential, Needs of the recipient, Country Ownership and Efficiency and Effectiveness. The investment policies also include a Policy on Co-financing which sets out the parameters for tracking, measuring, and reporting on GCF co-financing.  

The initial Investment Framework was updated with the adoption of the Strategic Plan for 2020-2023 to reflect new portfolio targets for GCF-1.

Policies and decisions

Initial investment framework
4 policies, 1 decision
Adopted by decision B.07/06 (a); updated in decision B.27/06 (k); applicable from B.27 onwards. Sets out the Fund's investment policies, investment guidelines (including investment criteria) and updated investment strategy and portfolio targets for GCF-1.
Adopted by decision B.07/06 (a); applicable for the entire duration of IRM and up to B.27. Establishes the Fund's investment framework, including investment policies, investment strategy and portfolio targets and investment guidelines/investment criteria.
Adopted by decision B.09/05 (b). Sets out definitions of the Fund's investment criteria, activity-specific sub-criteria, and indicative assessment factors AEs should use to inform the development of funding proposals.
Scaling pilot
Decision B.08/10 (c) establishes a scale of low/medium/high to assess the relative expected performance of medium and large funding proposals.
Adopted by decision B.22/15 (a). Adopts for a pilot period of one year investment criteria indicators to guide stakeholders in project development and approval and enhance consistency and transparency.
Adopted by decision B.33/12. Establishes principles for demonstrating the impact potential for mitigation and adaptation GCF- funded activities, to be used by the Secretariat and iTAP in the review process.
Policy on co-financing
1 policy
Adopted by decision B.24/14. Sets out key principles and approaches to determine and monitor public and private co-financing applicable to all GCF-funded activities.