NDF - Financing for climate change and development projects

ECOMICRO Regional Microfinance and Climate Change Program [NDF C35]

19.10.2011
The goal of the ECOMICRO program is to facilitate the use of green finance instruments by micro, small and medium-sized enterprises (MSMEs) as well as low-income people.

Latin America
ECOMICRO Regional Microfinance and Climate Change Program
Ref: NDF C35

EUR 1.5 million
Project period: 2012-2016
Partner agency: Inter-American Development Bank / Multilateral Investment Fund (MIF)

Objectives

The goal of the ECOMICRO program is to facilitate the use of green finance instruments by micro, small and medium-sized enterprises (MSMEs) as well as low-income people in order to (i) increase access to clean and efficient energy products and services, or (ii) assist in adaptation to climate change. The purpose of the program is to train Micro Finance Institutions (MFIs) to provide new green finance instruments in order to capitalize on new opportunities in clean energy financing, adjust their risk management models to climate change risk and to incorporate climate impact into their internal policies and operations. The program has three components: 1) Promotion and Awareness Raising; 2) Support to MFIs (including institutional energy audits, development of environmental management policies, analysis of loan portfolio vulnerability to climate change, and green credit products development); and 3) Knowledge capturing and dissemination of results. The NDF funds will be channeled through IDB as joint co-financing. The MIF will be the executing agency for the program while selected MFIs will be the executing agencies for projects within the Program. The Program Coordinator will be responsible for the timely and effective implementation of the Program activities.

Financing

Total cost of the program will be EUR 5.4 million, of which NDF will provide EUR 1.5 million, MIF/IDB EUR 2.7 million and local counterpart financing EUR 1.2 million.

NDF Contact

Vice President and Deputy Managing Director Leena Klossner
Telephone +358 10 618 002

More information

Video and a blog post that present the success of the project