The Green Climate Fund (GCF) is prioritizing international organizations over climate-vulnerable countries in granting funds, contradicting its core principles, according to Transparency International Bangladesh (TIB).
This has resulted in developing nations like Bangladesh being deprived of necessary support.
TIBs findings highlight GCFs failures in fulfilling its mandate over the last 12 years, including inadequate fund collection from developed countries and the imposition of loans instead of grants on climate-vulnerable nations.
TIB released the research "Accessing Green Climate Fund (GCF) for Vulnerable Countries like Bangladesh: Governance Challenges and Way Forward" during a press conference in Dhaka.
This study, conducted from January 2023 to May 2024, used both qualitative and quantitative methods.
TIB Executive Director Dr. Iftekharuzzaman criticized GCFs stringent conditions, which have nearly barred developing countries from accessing funds.
He emphasized that GCFs failure to adhere to its principles has led to significant delays in fund transfers and insufficient grant amounts for the intended recipients. Dr. Iftekharuzzaman pointed out the GCFs preferential treatment of international organizations like the UNDP, IDB, ADB, and EBRD, calling it unacceptable and contradictory to the GCFs mission.
He also highlighted the problematic shift towards loans over grants, burdening countries like Bangladesh with additional financial strain. Furthermore, despite corruption allegations, the UNDPs accreditation was renewed, undermining GCFs zero-tolerance policy on corruption.
The research revealed that GCFs recognition process is overly complex and time-consuming, hindering vulnerable countries like Bangladesh from directly receiving funds. It found a disproportionate focus on mitigation over adaptation, with GCF failing to achieve a balanced 50:50 funding ratio or set a timeline for this goal. Despite the need for USD 215 to 387 billion, GCF provided only USD 5.9 billion for adaptation in developing countries. —UNB
