B.07/08: Initial modalities for the operation of the Fund’s mitigation and adaptation windows and its Private Sector Facility

The Board, having reviewed document GCF/B.07/08 Initial Modalities for the Operation of the Fund’s Mitigation and Adaptation Windows and the Private Sector Facility:

  1. Takes note of document GCF/B.07/08;
  2. Affirms the initial modalities for the operation of the Fund’s mitigation and adaptation windows and the Private Sector Facility (PSF) as reflected in the Governing Instrument, and the decisions of the Board and of the Conference of the Parties to the United Nations Framework Convention on Climate Change listed in Annex XVI;
  3. Recognizes that the mitigation and adaptation windows and the PSF are integral components of the Fund that will evolve over time;
  4. Decides to undertake a review of the initial modalities for the operation of the Fund’s mitigation and adaptation windows and the PSF, no later than three years after the initial resource mobilization of the Fund;
  5. Decides that the Board, in line with decision B.04/08, will consider at its eighth meeting further work on the modalities of the PSF, including:
    1. Modalities for mobilizing private sector resources at scale by the PSF and the use of other financial instruments, including guarantees and equity investment;
    2. The first report and recommendations of the Private Sector Advisory Group (PSAG);
  6. Requests the PSAG to provide advice on the implementation of decision B.04/08 for consideration at the eighth meeting of the Board, with a focus on:
    1. Modalities to promote participation of private sector actors in developing countries, in particular local actors, including small and medium-sized enterprises and local financial intermediaries in small island developing States, least developed countries and Africa, and with a special emphasis on adaptation;
    2. Modalities and instruments to mobilize private resources at scale including through special financing vehicles or instruments, including risk mitigation instruments.