Green Climate Fund
The central pillar of multilateral climate finance is the Green Climate Fund (External link) (GCF).
The decision to set up the fund was taken at the Cancún Climate Conference in 2010. Its aim is to catalyse the transition to low-emission, sustainable development. It offers grant, loans, guarantees and equity for programmes that promote low-carbon economic development or substantially contribute to climate change adaptation. The GCF also partners with the private sector to mobilise further funding for mitigation and adaptation measures.
The BMZ and the BMU share responsibility for the GCF within the German government. Germany contributed 750 million euros to the Fund's initial capitalisation. When it came to the first replenishment of the Fund for the period 2020 to 2023, Germany then doubled its contribution to 1.5 billion euros, making it one of the GCF’s biggest donors. Germany’s contribution to the GCF comes entirely from the BMZ’s budget.