The Rwanda Climate Finance Partnership, inaugurated during the Paris Summit for a New Global Financing Pact, aims to amplify innovative climate action alongside contributions from the Government of Rwanda.
Diverse Support for the Partnership
Supported by key entities such as Agence Française de Développement (AFD), the European Union, Team Europe, the European Investment Bank (EIB), the International Finance Cooperation (IFC), German Cooperation via kfW Development Bank, and the Italian Corporation, the partnership builds on existing collaborations like the Rwandan-German Climate and Development Partnership and initiatives with the World Bank.
Formal Announcement at COP28 UN Climate Change Conference
The formal announcement of the Rwanda Climate Finance Partnership was made during the COP28 UN Climate Change Conference in Dubai, highlighting its significance on the global stage.
Objectives and Facilitation of Public-Private Partnerships
The partnership’s core objective is to foster public-private partnerships, elevating the scale of climate finance. Its realization is made possible through Rwanda’s Resilience and Sustainability Facility (RSF) arrangement with the International Monetary Fund.
Financial Support and Reform Measures
Anticipating a disbursement of USD 48.5 million following the IMF Executive Board’s approval of Rwanda’s second RSF review in mid-December, the partnership is poised to contribute significantly.
Additionally, the Government of Rwanda announced two reform measures related to enhanced risk analysis of climate-vulnerable State-Owned Enterprises and Public-Private Partnerships.
Integral Role in Rwanda’s NDC Climate Action Plan
Positioned as a key pillar in Rwanda’s pursuit of funding for its ambitious NDC Climate Action Plan, the Rwanda Climate Finance Partnership aligns with various public and private sector initiatives, including the programmatic approach for NDC investments, Green Taxonomy, and Intego, Rwanda’s NDC Facility.
World Bank’s Collaborative Efforts and Development Policy Operation
The World Bank collaborates with the Government of Rwanda in designing a USD 250 million development policy operation (DPO).
This initiative focuses on reforms to enhance private sector participation and resource mobilization for climate resilience.
Germany, through kfW Development Bank, actively participates, providing technical assistance and considering a financial contribution for the DPO’s second year.
