GCF then begins transferring financial assistance to the Accredited Entity in the form of a loan, grant, equity, or guarantee - depending on the nature of the approved project. Typically, GCF completes a series of financial disbursements during the life of the project.
This allows GCF to assess the impacts of the climate finance initiatives it supports and monitor its efficient and effective delivery. GCF assessments are designed to make sure the projects are effective in dealing with climate change, and do not cause negative effects where the initiatives are targeted.
In implementing projects, Accredited Entities should comply with grant conditions and covenants, while also observing the implementation schedule of the project. This will help to ensure timely implementation by the Accredited Entities and enable additional disbursements by GCF.
GCF maintains an overview of project progress through its requirement for Accredited Entities to produce independent evaluation reports at regular intervals. These include one at the mid-point of the project, and a final evaluation after the project has closed. More details on the steps of project implementation follow.