Commentary: Schism within the Green Climate Fund over how it will support developing countries in implementing their commitments under the Paris Agreement
Author: Liane Schalatek, Heinrich Boll Stiftung, Published on: 29 November 2018
“…The 21st Board meeting was widely considered as a “make-or-break” meeting for the GCF at a time when the initial resource mobilization (IRM) period of the GCF is drawing to a close and its financial future is at stake. It came just three months after the GCF’s 20th Board meeting in early July ended in publicly displayed dysfunction, showcasing deep divisions and distrust among Board members and within Board member constituencies, and highlighting the danger of continued gridlock on fundamental policy gaps in need of resolution, largely due to the inability to reach consensus in the Board on many of these issues…
For many developing country Board members they relate directly to the issue of fund eligibility, country ownership and the role of the GCF as a fund under the UNFCCC. For many developed country Board members the primary issues relate to increasing financial leverage, private sector engagement and cost-effectiveness of financing, including potentially via a more direct financing role for the GCF as an equity investor.
…the consideration of several other important policies on the agenda in Bahrain but never discussed was postponed to the next Board meeting in February 2019. Among them is a mandated, but highly disputed review and update to the GCF’s gender policy and gender action plan, as well as approval of a set of integrity policies safeguarding whistleblowers, outlining prohibited practices such as corruption or collusion and ensuring the compliance of the GCF and all its implementation partners with policy mandates, safeguards and oversight and risk management requirements.”