Dutch Fund for Climate and Development (DFCD)

Bangladesh,Cambodia,Ethiopia,Indonesia,Kenya,Vietnam,Zambia,Burkina Faso,Ghana,Mali,Nepal,Tanzania,Nigeria,Benin,Bhutan,Burundi,Lao PDR,Mozambique,Niger,Rwanda,South Sudan,Uganda,Zimbabwe

ongoing

Man walking with bananas Kenya

Driving private sector investment in large-scale climate adaptation.

The challenge: scalable climate solutions

To curb the effects of climate change, substantial funding should be injected in innovative and scalable business solutions advancing climate adaptation, biodiversity conservation and food security. These solutions are in need of adequate support to make them investable.

What is the Dutch Fund for Climate and Development?

The Dutch Fund for Climate and Development (DFCD) invests in projects tackling climate adaptation, biodiversity and food security with a view to increase the resilience of communities and ecosystems most vulnerable to climate change. It was established in 2019 with an initial commitment of €160 million from the Dutch Ministry of Foreign Affairs with consecutive additional resources from both the Ministry and the European Commission through the EFSD+ framework.

The DFCD is managed by a pioneering consortium: SNV, the World Wide Fund for Nature Netherlands (WWF-NL), the Dutch Entrepreneurial Development Bank (FMO) and Climate Fund Managers (CFM).

The Origination Facility identifies eligible projects and supports them in becoming ‘bankable’, so that they may receive large-scale funding from the Land Use Facility, Water Facility, or third-party investors.

DFCD fund structure graphic

DFCD Origination Facility 2024-2027

To ensure effective funding, DFCD operates through the Origination Facility. Projects can receive a grant and technical assistance to take the necessary steps to become bankable. These can include technical and financial feasibility studies, legal costs, or assistance to fully deploy their business model. The facility is managed by WWF-NL and SNV.

For information on eligibility and where the DFCD is active, visit thedfcd.com.

Expected impact

5 million

tCO2e p.a. of GHG emissions reduced

120.000

ha of farmland sustainably managed

€2 bn

of private finance investment mobilised

16 millon

people with increased climate-resilient livelihoods, many of whom women and members of vulnerable groups

Fund size

The Netherlands Ministry for Foreign Affairs has allocated €200 million to the DFCD for the period 2019–2027, with a target of impact by 2037. In addition, FMO has received guarantee funding from the European Commission, enabling them to increase their investment portfolio by EUR 240M. This means that over this period, the DFCD will manage a total investment fund of €440 million.

Of this, €70 million is dedicated to the Origination Facility, with SNV managing half of these resources.

News and stories

Update

Strengthening climate finance for smallholders and agribusiness in Nigeria

maize field
Press release

Press release: Partnership signed to advance forest and biodiversity bonds

Landscape Indonesia (DFCD)
Blog

Scaling climate finance to empower women and farmers

Bimala Tamang, an employee at Nepali pickling factory, packing pickles
See all our updates

Meet our team

Albert Bokkestijn

Albert Bokkestijn

Project Manager DFCD
Diane Potey DFCD

Diane Potey

Business & Investment Expert West-Africa
Tigere Muzenda

Tigere Muzenda

Business and Investment Officer
Alex Downs

Alex Downs

Business and Investment Officer

DFCD's donors

Embassy of the Kingdom of the Netherlands logo
eu

Our consortium partners

FMO logo
Climate Fund Managers logo
wwf logo