Climate Investment Funds (CIF)- Clean Technology Fund (CTF)
The Clean Technology Fund (CTF) is the second of the multi-donor trust funds within the wider Climate Investment Funds (CIFs).
The CTF was established in 2008 to provide emerging economies with scaled-up financing for the demonstration, deployment, and transfer of low-carbon technologies with a significant potential for long-term greenhouse gas (GHG) emission savings. The CTF received 5.5 billion in commitments, to be deployed through six partner multilateral development banks (MDBs).
As the only mitigation-focused multilateral fund built around the operating model of the MDBs, CTF’s MDB-collective model is designed to take full advantage of MDBs’ key strengths, as well as their ability to leverage capital to attract large volumes of finance from both public and private sources. Some of its key features include its ability to provide resources at scale, emphasis on private sector engagement, innovative financial instruments and a flexible programmatic approach.
The objectives of the CTF are to:
- Provide positive incentives, through public and private sector investments, for the demonstration of low carbon development and mitigation of greenhouse gas emissions;
- Fund low carbon programs and projects that are embedded in national plans and strategies, scaling up development and accelerating the diffusion and transfer of clean technologies;
- Realize environmental and social co-benefits, illustrating the potential for low-carbon technologies in contributing to sustainable development and the Millennium Development Goals;
- Support international cooperation on climate change;
- Utilize skills and capabilities of the MDBs to raise and deliver new and additional resources, including official and concessional funding, at significant scale; and
- Share experiences and lessons learned in responding to climate change challenges.
Cumulative pledges: USD 5.5 billion. All funds have been fully committed.
Investment Plan preparation, submission and approval may take up to 2 years.
Project preparation, submission and approval by the FIP sub-committee maximum 2 years.