April 13, 2024

TOP AFRICA NEWS

We Digest News to tell the Truth

Green Climate Fund approves major climate resilience and green growth investments in Rwanda worth USD 80 million

The Green Climate Fund, a global fund set up to realise the goals of the Paris Agreement, has approved two major investments that will build the climate resilience of vulnerable communities in Rwanda’s Congo Nile Divide through forest and landscape restoration and spur private sector green growth through Ireme Invest – Rwanda’s green investment facility.

The decision to approve the two projects was taken at the most recent Green Climate Fund board meeting, which was held from 23-25 October 2023 in Tbilisi, Georgia. 

The project to build the climate resilience of vulnerable communities in Rwanda’s Congo Nile Divide through forest and landscape restoration is worth USD 39.1 million or Frw 48.4 billion and will be implemented in Karongi, Musanze, Ngororero, Nyabihu, Nyamagabe, Nyamasheke, Nyaruguru, Rubavu, Rusizi, Rutsiro district. The project will develop more sustainable management of 278,000 hectares and promote sustainable agroforestry techniques in 2,000 hectares of plantations, reducing demand for fuelwood and alleviating deforestation pressures.

The second project approved – an additional contribution to Ireme Invest of USD 42.8 million or Frw 53 billion facilitated through the African Development Bank – will enable Rwanda’s private sector to access credit at a lower interest rate than the market standard to invest in renewable energy, climate-smart agriculture, water-efficient systems, green buildings, and clean transportation. The additional funding will ensure Ireme Invest can work with Rwanda’s private sector to support green business growth and boost the country’s response to climate change.

““The approval of these two GCF funded projects in Rwanda aimed at both private and public sectors, is a clear signal of Rwanda’s readiness for green investments and more resources are welcome to do more. It affirms the confidence and commitment of the Green Climate Fund to Rwanda’s long-term vision to be a climate resilient and carbon neutral economy by 2050. We look forward to successful implementation and desired impact,” said Dr Jeanne d’Arc Mujawamariya, Rwanda’s Minister of Environment. 

“Rwanda’s vulnerability to the impacts of climate change propels us with no multiple options other than working with the biggest climate fund (GCF) . I am pleased to note that Rwanda’s Project pipeline to GCF is currently the biggest among the National Direct Access Entities’ submitted projects. It is based on the financial needs of Nationally Determined Contributions which will cost at USD 11 Billion by 2030,” said Dr. Uzziel Ndagijimana, Rwanda’s Minister of Finance and Economic Planning.

Rwanda has a strong partnership with the Green Climate Fund and was the first country to receive direct access accreditation through the Ministry of Environment. In 2019, the Government of Rwanda secured USD 32 million from the GCF to strengthen the resilience of rural communities in Gicumbi District in the Northern Province.

In 2021, Rwanda signed a funding agreement with GCF and IUCN to transform the Eastern Province through climate adaptation, with a GCF contribution of USD 33.7 million and an additional USD 15.8 million in co-financing from the Government of Rwanda and project partners.

The Green Climate Fund is the world’s largest climate fund, mandated to support developing countries to raise and realise their climate action plans towards low-emission, climate-resilient development.

Print Friendly, PDF & Email

Leave a Reply

TOPAFRICANEWS.COM © All rights reserved.