The board of directors of Green Climate Fund (GCF) approved the financing proposal from Profonanpe, Peru's environmental fund, which will strengthen technical and institutional capacities to design, implement and monitor, through the incubation and acceleration of eco and biobusinesses in the Peruvian Amazon, specifically in Amazonas, San Martín, Cusco, Puno, Loreto and Madre de Dios.
The Amazon Eco Bio Business Facility (EBBF) will deliver effective climate change mitigation results by investing in eco-bio businesses (EBBs) that sustainably manage and conserve our Peruvian forests. The EBBF will be established as a fund capitalized with resources from the GCF and Profonanpe.
The EBBF will be implemented within Peru's national REDD+ framework and will expand the Forest Cover Monitoring Module to include secondary data on forest degradation. It will also support the development of the Forest Reference Emissions Level (FREL). o FREL/FRL (English acronym) for REDD+ activities related to the conservation and sustainable management of forests. Furthermore, it will strengthen technical and institutional capacities to ensure the environmental and social integrity and sustainability of bio-businesses under the REDD+ Safeguards.
This project hopes to boost 55 bio-businesses in the regions where the project will be implemented.
“For Peru, achieving EBBF approval, among so many globally accredited organizations, represents a great opportunity to promote and develop initiatives linked to sustainable forest management, enabling collaboration between different sectors and strengthening the capacity of communities to reduce their vulnerability and increase their resilience to the effects of climate change.”, Claudia Godfrey, Director of Innovation and Strategic Management at Profonanpe, highlighted this.
After receiving approval for its first project globally from this Fund in 2015, Profonanpe has once again secured this type of financing, highlighting its high technical and fiduciary standards for attracting and channeling funds to support Peru's environmental agenda. This new project is also an achievement of our strategic partners at Global Green Growth Institute, NESST and the Ministry of the Environment.
“EBBF will allow us to move forward in our role as an Environmental Fund, that is, to mobilize the capacities of the environmental ecosystem in favor of the conservation and rational use of natural resources. Likewise, it will strengthen the interventions we have been encouraging in programs such as Entrepreneurs for Nature; ventures linked to the effective management of our natural areas and the bio-businesses we promote through various projects, such as the Datem Wetlands Project”, Anton Willems, CEO of Profonanpe, pointed out.
The standards required by the GCF guarantee operability in the environmental, social and economic components; as well as the responsibility that Profonanpe assumes when managing this financing.
Fact: The biobusiness These are businesses that are based on the sustainable use of biodiversity, taking into account the criteria of environmental, social and economic sustainability.
Technical specifications:
Total amount: USD 10,000,000
GCF Contribution: USD 8,972,400
MINAM: USD 27,600.00
Profonanpe: USD 1,000,000.00
About the Green Climate Fund
The Green Climate Fund (GCF) is the financial mechanism created within the framework of the United Nations Framework Convention on Climate Change The United Nations Framework Convention on Climate Change (UNFCCC) was established to help developing countries finance climate change adaptation and mitigation efforts. Profonanpe is one of 113 entities worldwide, and the only one in Peru with direct access, that can access these funds.
