Press Release: Catalytic Climate Finance Facility Launches Learning Hub with Cad 1.5 Million Grant from IDRC
The Catalytic Climate Finance Facility (CC Facility) has secured CAD 1.5 million in funding from the International Development Research Centre (IDRC) to launch its innovative Learning Hub. This investment will kickstart a knowledge-sharing platform to generate and disseminate new evidence on best practices in mobilizing private capital for climate action in developing economies, focusing on sustainable development, just energy transition, gender equality, and local capacity.
“Local knowledge is essential to develop effective climate finance solutions that meet the needs of the communities most affected by climate change,” said Erin Tansey, director of IDRC’s Sustainable Inclusive Economies program. “We are thrilled to support the CC Facility’s Learning Hub as part of IDRC’s CAD 18.4 million investment into 12 clean energy research projects spanning 27 global South countries over the past 2 years intended to bridge the knowledge gap between policymakers and investors.”
Launched in May, the CC Facility accelerates the implementation of high-impact, ready-to-scale financial structures through a suite of services that include grant funding, technical support, and a market-building learning hub. It is managed as a partnership between Climate Policy Initiative (CPI) and Convergence, two global leaders in blended and climate finance.
With an initial pool of USD 12 million raised prior to the IDRC award, the CC Facility will announce its first cohort this week during COP 28. The CC Facility continues to fundraise for a second round of USD 10 million by September 2024 as it moves toward its goal of reaching USD 100 million in size over the next few years.
“We are grateful to IDRC for their support of the CC Facility Learning Hub,” said Joan Larrea, Convergence’s CEO. “The Learning Hub will play a critical role in filling information gaps on critical climate finance issues and potential blended finance solutions. We believe the emphasis on bringing out local voices and building local capacity will be a strength of this program.”
The Learning Hub will enhance the CC Facility’s knowledge base and expertise, helping it to develop and implement more effective and efficient programs. Drawing on CPI and Convergence’s extensive data collection and research efforts, the Learning Hub will contribute to accelerating the implementation of financial vehicles, mobilizing private capital, and achieving socioeconomic and environmental impacts.
“The Learning Hub efforts will highlight the business case for commercial and concessional investors to accelerate their deployment of climate finance, especially in the global south,” said Barbara Buchner, CPI’s Global Managing Director. “It will also support CC Facility’s grantees and capital providers and the broader climate finance ecosystem, including practitioners leading the development of blended finance structures.”
The Learning Hub’s next steps are to develop a Learning Agenda to guide its goals and activities. Initial thematic priorities will include just energy transition, gender equality and social inclusion, and climate finance acceleration. The research will contribute to building knowledge on how mobilizing private capital for energy access and the energy transition can deliver an impact on gender and social inclusion outcomes, and will incorporate southern-based research institutional perspectives.
Photo courtesy of Axel Fassio/CIFOR.