Enhancing collaboration with development finance institutions

1. AGENDA ITEM 5:
ENHANCING COLLABORATION WITH
DEVELOPMENT FINANCE
INSTITUTIONS
[ENV/EPOC/EAP(2019)2]
GREEN Action Task Force Meeting
30 September 2019
Paris

2.  Important role of Development Finance Institutions (DFIs) in
providing and mobilising green finance in EECCA
 But more is possible if challenges are addressed…
 Discussion during the third Annual Meeting, including by
the EIB Vice President Hudák
 One of key conclusions:
– “strengthen the co-operation between the Task
Force and Development Finance Institutions…
– … to discuss policy challenges to, and solutions for,
scaling up green investment, based on the needs,
experiences and knowledge from the both sides…”
Context

3. • In 1990s and early 2000s:
– co-operation between the Task Force and the Project
Preparation Committee, incl. joint annual meetings
• More recently:
– Collaboration through events at regional and country level
– OECD analysis and tools that informed DFIs’ efforts to
design and structure investment projects or were used by
DFIs to support country/regional strategy development
– Formal and informal exchange of information and co-
ordination
Past and existing co-operation

4.  National policy dialogues, workshops
 Regional events, e.g. Task Force in Almaty or
International Conference on Unlocking Private Finance
for Greener Growth
 EBRD developed a WWTP project in Armenia from the
list of WSS infrastructure projects prioritised through the
NPD on Water
 A Financing Strategy methodology and FEASIBLE model
that informed DFIs’ work on WSS investment
 Development of Clean Public Transport Programme in
Moldova engaged the Task Force and EBRD in
supporting clean public transport financing
 Donor co-ordination in Kazakhstan
Recent examples

5. • OECD Development Assistance Committee (DAC)
• OECD Centre on Green Finance and Investment
• Green Growth Knowledge Platform (GGKP)
• Research Collaborative on Tracking Private Climate Finance
Wider OECD co-operation with Development
Finance Institutions

6.  Turning national or sectoral strategies into investment plans
(e.g. NDCs)
 Strengthening regulations and compliance assurance
 Strengthening environmental/green due diligence by international
and domestic financial institutions
 Developing new financial instruments and mechanisms for green
growth (incl. risk management)
 Improving definitions (taxonomy!), data collection for monitoring
and evaluation of investment projects
 Considering the whole of life performance of projects
 Developing project preparation capacity
Some ideas for brainstorming
(Box 2 in the Discussion Note)

7. WHY
1. What would be the value-added of closer co-operation?
WHAT
2. What could be the potential subjects, outputs and
outcomes?
HOW
3. What could be best mechanisms for strengthening such co-
operation and roles of respective partners?
4. Should the Task Force invite DFI(s) to Bureau meetings and
to the Task Force meetings on a regular basis?
Discussion questions