Nepal's NIMB Bank receives accreditation from Green Climate Fund for climate action investments

KATHMANDU, March 9: The Green Climate Fund, widely regarded as the world's largest fund for developing countries, has granted accreditation to Nepal Investment Mega Bank Limited (NIMB) to invest in climate action. The 38th meeting of the Fund's Board of Directors held on Thursday in Kigali, Rwanda, Africa, made this decision.

Nepal has increased its footprint in the Green Climate Fund, with the recent addition of Nepal Investment Mega Bank Limited (NIMB) alongside the existing affiliations of Alternative Energy Development Center (AEPC) and National Nature Conservation Fund (NTNC).

There is a provision that any private, public, non-governmental, national, regional and international body can achieve affiliation by meeting the criteria set by the Green Climate Fund (GCF). These bodies are able to submit proposals for projects and programs conducted with the support of the fund and manage the projects and programs. It is made available to all agencies only by reviewing various standards including financial standards, structural arrangements, environmental and social security, gender policy, track record of implementing projects related to climate change.

The Green Climate Fund (GCF) offers an inclusive approach, allowing any private, public, non-governmental, national, regional, or international entity to become affiliated by meeting specified criteria. These affiliated bodies gain the ability to submit proposals for projects and programs supported by the fund and oversee their management. However, access is granted only after a thorough review of various standards, including financial, structural, environmental, and social criteria, as well as gender policy and the track record of implementing climate change-related projects.

NIMB was formed through the merger of Nepal Investment Bank Limited and Mega Bank Limited in January 2023. Prior to this merger, in January 2019, Nepal Investment Bank Limited applied for the Green Climate Fund's online accreditation system. In its proposal, the bank outlined plans to undertake a range of climate-friendly projects and programs spanning various sectors. These initiatives include projects in energy production and access, transportation, infrastructure development, forest and land use, livelihood enhancement, as well as initiatives focusing on ecosystems and ecosystem services.

In accordance with the Green Climate Fund's strategic action plan for the period 2024 to 2027, Nepal Investment Mega Bank (NIMB) has been assigned a link under the middle-level category of the fund.