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Applications are open for the Catalytic Climate Finance Facility (CC Facility) Initiative 2025. Click here to learn more about this opportunity and apply for it.
Opportunity Details
In developing nations, the Catalytic Climate Finance Facility (CC Facility) expedites the introduction and expansion of mixed climate finance arrangements that have a significant impact and are ready for the market.
The CC Facility seeks to be an ecosystem builder, address a market need for scaling blended finance structures for climate change, and increase the available pipeline of bankable blended climate finance transactions with a focus on gender responsiveness and local capacity through grant funding, acceleration support, and a market-building learning hub.
Convergence and Climate Policy have partnered to launch this effort, which aims to provide a comprehensive solution in a fragmented sector and stimulate private finance to close the climate financing gap. Convergence and CPI work together to provide a range of resources and assistance to help cutting-edge blended finance structures at the acceleration stage scale more quickly, avoid roadblocks, and optimize their influence on climate finance.
The CC Facility accelerates the implementation of climate finance structures by offering grant funding of up to USD 500,000
Here’s what you stand a chance to gain in details:
1. Grant Funding
Funding to accelerate the launch and scale-up of blended finance structures for climate action.
2. Acceleration Support
Customized technical assistance for 12-18 months to build capabilities to accelerate the market roll-out of blended climate finance structures.
3. Learning Hub
Knowledge-sharing resources to help build the field and consolidate the market, creating synergies and increasing efficiencies in the ecosystem.
Qualifying Criteria
The CC Facility supports blended finance structures targeting climate action in developing economies. Applications will be assessed based on a set of qualifying characteristics and key evaluation criteria.
Applicants must meet the following criteria to be eligible for consideration:
Investment theme: Structures addressing climate adaptation and/or mitigation
Sectors: The next round of applications will focus on sustainable agriculture solutions in Sub-Saharan Africa and/or South Asia, as well as other climate adaptation and mitigation solutions targeting Asia-Pacific.
Geography: Developing countries.
Applicants do not need to be domiciled in a developing country but end beneficiaries and target activities must. Preference will be given to local applicants who demonstrate a nuanced understanding of local contexts and engagement with local stakeholders where relevant.
Stage: Market-ready structures moving through an initial adoption stage in their development process
This includes blended finance structures that have already been tested for feasibility, completed proof of concept, pilot(s), or a minimum viable product, and are ready to soon launch and scale.
Team & local capacity: Proven track record and experience in targeted sector and geography, capacity and willingness to engage with the CC Facility program, and on-the-ground presence. Additionally, structures will be assessed on their ability to demonstrate local capacity development (e.g., knowledge, leadership, and technology transfer) in the target geography.
Entity type: Organizations or a consortium of organizations, including advisory firms, foundations, not-for-profits, fund managers, and private enterprises.
Public institutions such as development finance institutions, multilateral development banks, UN and government agencies can not be the lead applicant or grant recipient.
The lead organization must be able to provide proof of incorporation and financial statements for the previous fiscal year.
If you have any questions about eligibility, see the Frequently Asked Questions section on the How it works page.
Key Evaluation Criteria
We evaluate eligible applications based on the following criteria:
Additionality:
How does this structure compare to others in the market and why are the alternatives inadequate to address the development challenge at hand?
Does this structure address climate finance barriers or a market failure in a new or more efficient way?
Catalytic potential:
Does the structure contribute to climate mitigation and/or adaptation in developing economies?
Is this structure replicable and/or scalable?
Financial sustainability:
Are the right stakeholders involved? Do they show a sufficient level of commitment?
Is the structure financially sustainable? How much runway does the vehicle have?
What conditions must be met for concessional financing to be phased out?
Gender equality:
Is there a strong understanding of gender-related risks and opportunities in the context of the vehicle?
Is there evidence of (or an intention to improve upon) integration of gender considerations across different aspects of the vehicle?
Mobilization:
Does the structure have the potential to mobilize private capital at scale and/or to attract participation from new segments of investors?
Is there any interest (e.g., soft commitment) from potential investors and funders in the solution? How bankable/investable is the structure?
Selection Process
1. Screening
Concept Note:
Those interested can initiate the application process by submitting a Concept Note form and optional supplemental materials by the deadline date.
Full Application (by invitation only):
Selected applicants will be invited to submit a full proposal for funding and acceleration support consideration.
2. Evaluation
Shortlist:
Shortlisted applicants will be invited to participate in closed-door virtual pitch day.
Due diligence:
Finalists will be selected to undergo a comprehensive due diligence process, including a funding and acceleration support assessment. Interviews with key stakeholders will be requested. At this stage, we develop milestones and define the grant sizes and days of acceleration support to be awarded.
3. Recommendation
Award approval:
Finalists will be recommended to the Investment Committee and final Management and Board approvals will be sought.
If you have any questions about selection, see the Frequently Asked Questions section on Eligibility and Selection Process.