The United States government, alongside the UK’s Foreign Commonwealth and Development Office, the Green Climate Fund, Norfund, and the Nigerian Sovereign Investment Authority, announced its intention to contribute to the Green Guarantee Company’s initial balance sheet of USD 100 million at COP28 in Dubai.
The Green Guarantee Company (GGC) is the first specialist guarantor for emerging market climate adaptation and mitigation projects, unlocking access to global investors by de-risking green bonds and loans.
The United States provided USD 5 million in technical assistance through USAID’s EDGE Fund, USD 3 million in seed funding from Prosper Africa, and USD 2 million from the State Department.
As part of a USD 484 million package, the U.K. government announced they will be investing GBR 32 million via MOBILIST in the GGC.
Approved in October 2022, the Green Climate Fund will invest USD 40.5 million as the first tranche with subsequent investments up to an aggregate amount of USD 82.5 million as GGC scales up.
Funding is subject to final documentation.