BRASILIA—The governing board of the Climate Investment Funds has endorsed a plan to earmark $40 million in grant financing to empower Indigenous and local communities to advance climate action in Brazil, Dominican Republic, Egypt, Ethiopia, Fiji, Kenya, Rwanda, and Africa’s Zambezi River Basin region.
The allocation is part of the CIF’s $370 million Nature, People, and Climate (CIF NPC) investment platform which was established last year to invest in nature-based solutions at scale across the Global South. The decision also adds Brazil, Ethiopia, and Rwanda to the group of countries eligible for CIF NPC finance.
The funding will be channeled through the CIF-supported Dedicated Grant Mechanism (DGM), which directly finances programs designed, implemented, and led by Indigenous peoples and local communities (IPLCs).
The DGM grant resources will be distributed as follows:
Before today’s announcement, CIF had allocated to DGM more than $70 million to empower IPLCs to sustainably manage natural resources, restore land access through initiatives such as land titling programs, and fight climate change through the application of local and traditional knowledge.
Indigenous knowledge, accumulated over centuries, offers sustainable solutions to mitigate and adapt to climate change. About 90% of IPLC lands are carbon sinks, and Indigenous-managed lands have been shown to sequester over twice the amount of carbon than lands that aren’t managed by them. IPLCs also protect around 80% of the world's remaining biodiversity and are crucial partners in safeguarding fragile ecosystems and preserving precious animal and plant species.
It is crucial to support and strengthen Indigenous stewardship in safeguarding the integrity of the forest ecosystem and maintaining carbon stocks. IPLCs hold at least 50% of the world’s land area. Between 2003 and 2016, Amazonian Indigenous lands experienced a forest carbon loss of less than 0.3%, whereas non-Indigenous protected areas suffered a loss of 0.6%.
Building on CIF’s nearly 15-year track record in climate finance mobilization and implementation, CIF NPC aims to take on one of the greatest climate challenges of our time: the destruction of nature and addressing the outsized carbon footprint of unsustainable land use. An estimated 23% of total human-caused greenhouse gas emissions come from agriculture, forestry, and other land use.
Partnering with multilateral development banks, CIF NPC is deploying resources to de-risk and scale investments in sustainable land resources and ecosystems across key sectors and geographies, opting for a “systems-level” rather than project-by-project approach. By design it supports both climate adaptation and mitigation objectives.
Investing in nature is fundamental to human existence and prosperity. Sustainable agriculture and forest management, including measures such as agroforestry, could deliver over $2 trillion per year in economic benefits, generate millions of jobs in developing countries, and improve food security. At the same time, the restoration of forests, degraded lands, and coastal zones can help strengthen resilience to climate impacts.
CEO of the Climate Investment Funds, Mafalda Duarte:
"I’m extremely proud of the work and results achieved through CIF’s Dedicated Grant Mechanism for Indigenous Peoples and local communities and hopeful about the impact that can be achieved with this additional funding allocation. We have proven the importance of empowering IPLCs with dedicated financial resources governed and implemented through arrangements they agreed upon. The results, tangible and intangible, speak for themselves. We have much to learn from the wisdom and experience of IPLCs in terms of our connection with nature and our efforts to preserve our planet's ecosystems, combat climate change, and secure a sustainable future for all."
Bharati Pathak, Co-Chair of the DGM Global Steering Committee:
"The Climate Investment Funds is a longstanding partner of local and Indigenous communities, women and youths in developing countries. This investment recognizes our pivotal role in tackling climate change. CIF's support will enhance our leadership in transferring knowledge, building capacity, and paving the way for transformative climate solutions that will resonate far beyond the borders of our ancestral lands."
Manuel Aldrete, Co-Chair of the DGM Global Steering Committee:
“Indigenous peoples, local communities, women and youths are guardians of our collective future. The knowledge we've accumulated over generations helps restore balance between humanity and the natural world. We welcome the support of the Climate Investment Funds as we take action to address a climate crisis that imperils ecosystems, biodiversity, and our livelihoods."
Learn more:
Climate Investment Funds (CIF) Factsheet
Nature, People, and Climate (CIF NPC) Factsheet
Nature, People and Climate Investment Program video
Nature, People and Climate Investment Program animation
About the Climate Investment Funds
The Climate Investment Funds (CIF) is one of the largest multilateral climate funds in the world. It was established in 2008 to mobilize finance for low-carbon, climate-resilient development at scale in developing countries. 14 contributor countries have pledged over $11 billion to the funds. To date, committed CIF capital is mobilizing more than $62 billion in additional financing, particularly from the private sector, in over 70 countries. CIF’s large-scale, low-cost, long-term financing lowers the risk and cost of climate financing. It tests new business models, builds track records in unproven markets, and boosts investor confidence to unlock additional sources of finance. Recognizing the urgency of CIF's mission, the G7 confirmed its commitment to provide up to $2 billion in additional resources for CIF in 2021. Headquartered at the World Bank building in Washington DC, CIF works with six multilateral development banks. https://www.cif.org