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Case study

Nordic Development Fund: pushing for excellence through climate change screening

Since 2009 NDF has a mandate to provide financing for projects contributing to climate change and development objectives in selected, mostly low income, developing countries. For NDF, the introduction of the climate mandate implied that all future financing would have to support nationally appropriate and economically justified projects that have a significant and positive
Key points
  • The Project Identification and Screening Methodology was originally designed for NDF as a tool to secure a rigorous and systematic analysis of the climate change and development relevance of projects suggested for NDF’s financing. It has succeeded well in fulfilling that objective. The policy contains explicit criteria for both climate change mitigation and adaptation projects, respectively. This ensures that climate financing through NDF is not re-labeling of any other development projects to, but that the climate content is real and proved. In addition, the value of the screening methodology, and the working practices it has triggered at NDF in its collaboration with partner institutions and countries, go well beyond the originally intended objectives.