Green Climate Fund, $1.2 Billion Climate Change Response Projects in 44 Developing Countries

Expansion of GCF Secretariat in Songdo, Incheon from 250 to 300 Staff Members

Deputy Prime Minister and Minister of Economy and Finance Hong Nam-ki (left) greeting Yannick Glemarec, Executive Director of the Green Climate Fund (GCF), on May 25. (Photo by Ministry of Economy and Finance) [Image source=Yonhap News]

[Sejong=Asia Economy Reporter Moon Chaeseok] The Ministry of Economy and Finance announced on the 11th that the Green Climate Fund (GCF) approved plans for greenhouse gas reduction and climate change adaptation projects worth $1.2 billion (approximately 1.435 trillion KRW) targeting 44 countries.

The Ministry stated that at the 30th GCF Board meeting held via video conference from the 4th to the 8th, a total of 13 new greenhouse gas reduction and climate change adaptation projects for developing countries were approved. The total support amount from GCF is $1.2 billion.

The newly approved projects include the Amazon Bioeconomy Fund ($279 million), the Sahel 5-Country Desert Utilization Power Generation Program ($150 million), and support for the dissemination of agricultural climate adaptation technologies in Tanzania ($100 million), among others.

Through this GCF board approval, it is expected that a total of $4 billion (approximately 4.784 trillion KRW) will be invested, including co-financing from the Inter-American Development Bank (IDB) and the African Development Bank (AfDB). Accordingly, the total number of GCF projects will increase to 190, with support funds reaching $10 billion (approximately 11.96 trillion KRW) and total project costs amounting to $37.2 billion (approximately 44.4912 trillion KRW).

Additionally, GCF approved an expansion plan to increase the Secretariat staff in Songdo, Incheon, from 250 to 300 next year, and to 350 in 2023. Since its establishment in 2010, GCF has continued to grow, and it was deemed necessary to increase personnel to strengthen capabilities.

Lee Jong-hwa, Director of Development Finance at the Ministry of Economy and Finance and Korea’s GCF Board member, said, "We welcome the decision to expand the GCF Secretariat size," adding, "As the host country of the GCF headquarters and a board member country, the Korean government will actively support the continuous growth of GCF."

The Ministry stated, "The government will continue to strive for the sustainable development of GCF, which has become the world’s largest climate change response fund, and plans to actively support the participation of domestic institutions and companies in GCF projects by strengthening links with the 'Green New Deal' policy."

The 31st GCF Board meeting is scheduled to be held from February 7 to 10 next year.