The Development Bank of Southern Africa (DBSA) and the Green Climate Fund intend to launch a green bank called Climate Finance Facilty (CFF).
The financial institution will finance projects related to climate change and environmental protection. It will become the first green bank to be funded by the Green Climate Fund, and will co-finance projects and activities aimed at reducing the effects of climate change.
According to Patrick Dlamini, Managing Director of the Development Bank of Southern Africa (DBSA), SBB “is an innovative financial institution that allows us to bring together investors and increase our support for environmentally friendly projects. ”
The institution is funded with $ 140 million, including $ 45.8 million from DBSA and $ 55.5 million from the Green Climate Fund.
This amount will be the initial capital of the bank to be present in South Africa and other southern African countries such as Namibia, Swaziland and Lesotho.
Note that the announcement was made during the 21st Board of Directors of the Green Climate Fund was held from 17 to 20 October 2018 in Bahrain.