Fund Dates

Start Date: 01 July 2020

End date:   31 Decmber 2030

The Glabal Fund  for Coral Reef - Main Documents

• Terms of Reference
• MOU with RUNOs 
• Standard Administrative Arrangement (SAA) Template

Brochure - Call for Action and Engagement

Overview

The Global Fund for Coral Reefs (www.globalfundcoralreefs.org) is the first UN multi-partner trust fund dedicated to SDG 14. The GFCR is an innovative blended finance mechanism with the ambition to mobilize $500M ($125M in grants and $375M in investment capital) for coral reef ecosystem conservation and resilience while strengthening ecosystem services for reef-dependent communities. The Fund deploys grant financing to build a pipeline of revenue generating initiatives to leverage private finance for coral reef conservation

The Global Fund for Coral Reefs has a dual focus:

• Facilitate the uptake of innovative financing mechanisms, including private, market-based investments focused on coral reef conservation and restoration 
• Unlock financing for coral reef-related climate adaptation through the Green Climate Fund and Multilateral Development Banks (MDBs) 

Theory of Change

Desired Change
Prevent the extinction of coral reefs in our lifetime by eliminating the coral reef financing gap and supporting interventions for their best chance of survival.

The Global Fund for Coral Reefs will promote a ‘protect-transform-restore-recover’ approach in priority locations with resilient reefs with exceptional biodiversity.

Outcome 1: Protect priority coral reef sites and climate change-affected ‘refugia’
Strategic coral reefs are protected (i.e. climate refugia, reefs with high biodiversity, important ecosystem services) and ecosystem resilience is increased in the face of climate change. Degradation drivers of coral reefs are mitigated or eliminated.

Outcome 2: Transforming the livelihoods of coral reef-dependent communities
Reduced reliance and unsustainable practices in coral reef ecosystems as people are made aware of the crisis and motivated to make and support pledges to take positive action at scale. Transition to sustainable fisheries and tourism. Private sector-led investments chanelled into alternative livelihoods and reef-first businesses.

Outcome 3: Restoration and adaptation technologies
Coral reef restoration and adaptation technologies are made scalable, cost-efficient, and applicable to a variety of regional contexts; with proven outcomes for ecological resilience.

Outcome 4: Recovery of Reef-dependent community livelihoods are more resilient to shocks, Reef-dependent community livelihoods are more resilient to shocks (natural disasters, health crises, economic downturns), avoiding a resurgence of drivers of degradation for coral reef ecosystems. MPA management and enforcement operations are equipped to continue functioning during periods of crisis.

Fund Structure

Given the diversity of coral reef ecosystems and limited, proven, scalable revenue streams, the legal structure of the Global Fund for Coral Reefs is flexible, long-term, and lean. The GFCR is designed as a 10-year US$500M blended finance vehicle with two windows working under the same Theory of Change and a common Investment Plan.

• The Grant Window is managed by UN agencies, privative philanthropy and Member State donors. This window deploys grants for technical assistance, financial structuring, baseline studies, site monitoring and impact assessment.
• The Investment Window will provide investment capital to finance and scale-up businesses and initiatives incubated by the Grant Window. Proposed guarantees and concessional loans will be mobilized to de-risk investments in the unfamiliar markets of the blue economy and attract private investor capital. Revenue streams from the supported projects and businesses will be used to repay investors while also ensuring the financial sustainability of coral reef conservation and reducing reliance on short-term grants.

The GFCR will take a holistic approach to project sites, addressing multiple drivers of degradation simultaneously to maximize benefits for coral reef ecosystems. Initiatives in the following areas are of interest to the Fund: Co-management agreements for MPAs, ecotourism, sustainable fisheries and aquaculture, waste management, water treatment, sustainable agriculture, blue carbon, blue bonds and alternative activities for subsistence and income.

Partners:  

In addition to donors, a coalition of global partners committed to reef protection has come together to implement this global financing instrument. Three UN Agencies (UNDP, UNEP, UNCDF), two private foundations (Prince Albert II of Monaco Foundation and Paul G. Allen Family Foundation), and two financial institutions (BNP Paribas and Mirova).  The GFCR is also building partnerships with international and local NGOs to build on existing initiatives and seize on the expertise and experience of actors around the world.