Municipal Development and Lending Fund

  • Direct (National)
Type
Direct (National)
Date approved
25 Mar 2026
Size
Medium
ESS Category
Category A, Intermediation 1
Fiduciary standards
Basic, Project management, Grant award
Municipal Development and Lending Fund logo

Overview

The Municipal Development and Lending Fund (MDLF) is a semi-governmental entity headquartered in West Bank with a mission to support the State of Palestine’s transition toward self-sustained, decentralized and prosperous local government. MDLF works to channel financial resources from the Palestinian National Authority and development partners to local government units and public entities in order to improve municipal infrastructure and services, promote economic development, and strengthen municipal efficiency and accountability. The organization operates across the State of Palestine.

MDLF works closely with a broad network of development partners and several bilateral development agencies. Through its Strategic Plan, MDLF contributes to Sustainable Development Goals 11 and 13 by supporting inclusive and sustainable municipal services and integrating climate adaptation and mitigation into local development and investment planning. The strategy is aligned with the Palestinian national adaptation plan, national development priorities, and environmental strategies.

By partnering with GCF, MDLF aims to strengthen climate-resilient local development and support vulnerable communities across the State of Palestine. Building on its ongoing work with local government units, the organization intends to scale up programming in areas including solid waste management, water, energy, flood management, wastewater treatment and reuse, while continuing to promote institutional strengthening, gender mainstreaming, and environmental and social safeguards across its interventions. 

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