Photo credit:Tscherno CC
The joint Nordic development financing institution focusing on climate change and developing countries
NORDIC DEVELOPMENT FUND, P.O. Box 185, FIN-00171 Helsinki, Finland (visiting address: Fabianinkatu 34) Tel: +358 10 618 002, Fax: +358 9 622 1491, e-mail: info.ndf@ndf.fi, website: www.ndf.fi
Key Characteristics:
How does NDF finance?
• Facilitates greater investments in developing countries to address the causes and consequences of climate change.
• All projects are screened for their climate change content. - Mitigation criteria: The value of the emission reductions should be at least 10% of project investment costs. - Adaptation criteria: at least 50% of the project costs should be subject to the actual or expected impacts of climate change.
• Offers funding to projects in cooperation with multilateral and Nordic development agencies and organisations. • Contributes to strengthening the international aid effectiveness and harmonization agenda. • Applies a specific screening methodology to assess the climate change content of projects ex-ante. • Promotes a broad scope of Nordic priorities and objectives.
This is NDF:
• Strategic focal areas: catalytic role and leverage, project preparatory funding, support for innovation, support for private sector development and linkages between the public and the private sectors, piloting of interventions with a high risk level and identification of emerging climate change issues. • Projects are mostly identified and developed in cooperation with partner countries and within the country programs of multilateral development banks and Nordic development financiers. • Funding level per project ranges from EUR 3 million to EUR 6 million.
• A multilateral development finance institution established by Denmark, Finland, Iceland, Norway and Sweden in 1989. • Original, subscribed fund capital by the Nordic countries’ equivalent to EUR 1 billion. • Mandate since 2009 to focus on climate and development. • Annual approvals for new activities approximately EUR 40 million. • Has proven effectiveness and efficiency and a value-adding niche as a fully operational and functioning piece in the global climate financing architecture.
NDF focuses its activities on these low- and lower middle income countries: Africa: Benin, Ethiopia, Ghana, Kenya, Mozambique, Rwanda, Senegal, Tanzania, Uganda, Zambia.
• The Nordic Climate Facility (NCF) is a financing window within NDF through which private and public Nordic entities can, in partnership with local partners in an NDF country, seek financing for innovative climate change projects. NCF is a call for proposal facility that supports the piloting of novel climate change solutions and technologies in low income countries.
Regional Distribution of Approved Financing EUR 250 million
28%
3%
23%
Africa
46%
Asia Latin America Multiple regions
Asia: Bangladesh, Cambodia, Lao PDR, Nepal, Vietnam. Latin America: Bolivia, Honduras, Nicaragua.
As of 8.6. 2016: 88 projects with a total value of EUR 250 million