FP048

Low Emissions and Climate Resilient Agriculture Risk Sharing Facility

Low Emissions and Climate Resilient Agriculture Risk Sharing Facility

  • Status Under implementation
  • Date approved 02 Oct 2017 at B.18
  • Est. completion 22 Jan 2034
  • ESS Category Intermediation 2

Supporting the transition to low emission, climate resilient agriculture in Guatemala and Mexico through the creation of a risk sharing facility to unlock innovative and scalable financial instruments for MSMEs.

In Latin America, the combined effects of climate change, inequality and population pressures are escalating the food and nutrition security and income challenges faced by smallholder farmers. In the Caribbean, rising sea levels are leading to increased agricultural land loss and causing more widespread damage to agricultural systems as a result of saline intrusions into coastal aquifers.

The risk-sharing facility created by GCF and IDB will target agricultural MSMEs that demonstrate environmentally sustainable practices. It will support them to engage lenders for the longer-term loans needed for climate-smart investments. GCF’s investment in this programme will support both mitigation and adaptation outcomes. The risk-sharing facility will attract additional local and international private sector investors, resulting in significant additional private capital being channelled into these activities.

The project has an estimated lifespan of 15 years.

Total project value

 

Tonnes of emissions avoided

 

Beneficiaries

 

Direct
802,980
Theme

Cross-cutting

Result areas

Project timeline

Pipeline

31 Aug 2016 - 398 days

Concept note received

31 Aug 2016

Funding proposal received

10 Jan 2017

Cleared by iTAP

15 Sep 2017

Approved

02 Oct 2017 - 478 days

Approved by GCF Board

02 Oct 2017

Legal opinion on AE's Internal Approval

27 Jul 2018

FAA executed

26 Dec 2018

Under implementation

22 Jan 2019 - 436 days so far

FAA effective

22 Jan 2019

Disbursement - USD 2,140,000

15 Mar 2019

Completed

22 Jan 2034 - 5,045 days to go

One region

  • Latin America and the Caribbean

Two countries

USD  
  • Financing
    • Private sector
    • Public sector
  • Size
    • Micro
    • Small
    • Medium
    • Large

GCF financing1% disbursed

InstrumentAmount
LoanUSD 5,360,000
EquityUSD 11,000,000
GuaranteeUSD 1,500,000
GrantUSD 2,140,000

Cofinancing

CofinancerInstrumentAmount
Co-FinancingGrantUSD 1,100,000
Co-FinancingEquityUSD 3,000,000
Co-FinancingGuaranteeUSD 1,500,000
Co-FinancingLoanUSD 4,400,000
Co-FinancingOtherUSD 128,000,000

GCF Contacts

General media inquiries

GCF Communications
Phone +82 10 4458 7751
Send message

Request for information

GCF Information Disclosure
Request information about this project

Project complaints and grievances

GCF Independent Redress Mechanism (IRM)
Phone +82 32 458 6157
File a complaint

Integrity issues

GCF Independent Integrity Unity (IIU)
Phone +82 32 458 6155
Send e-mail

Accredited Entity

Inter-American Development Bank

Matias Bendersky
Chief, Resource Mobilization Unit (Please CC in all communications Mr. Daniel Hincapie, Operations Specialist)
1300 New York Avenue NW, Washington, D.C., United States
Phone +1 (202) 623-1723
mbendersky@iadb.org
danielhi@iadb.org
Amal-Lee Amin
Chief, Climate Change and Sustainability Division
1300 New York Avenue NW, Washington, D.C., United States
Phone + 1 (202) 623-1924
amalleea@iadb.org
gloriav@iadb.org

National Designated Authority

Guatemala

Ministry of Environment and Natural Resources

Mr. Mario Roberto Rojas Espino
Minister, Ministry of Environment and Natural Resources
7a. Avenue 03-67 Zone 13, Guatemala City, Guatemala
Fredy Antonio Chiroy Barreno
Deputy Minister, Ministry of Environment and Natural Resources
7a. Avenue 03-67 Zone 13, Guatemala City, Guatemala
Juan Carlos Diaz Contreras
Director of International Cooperation
7a. Avenue 03-67 Zone 13, Guatemala City, Guatemala
Mexico

Ministry of Finance and Public Credit (SHCP)

María Fernanda Lara
Director for Sustainable Financing
Av. Insurgentes Sur 1971, Torre III, Piso 3, Col. Guadalupe Inn, Delegación Alvaro Obregón,, Mexico City, Mexico
Phone +52 (55) 3688 00 Ext. 52608
fernanda_montero@hacienda.gob.mx

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