This paper provides an overview of the concept of direct access to funding for climate change actions in developing countries. It focuses on the institutional arrangements that are necessary to facilitate and support direct access and is intended to inform the current and future discussions on direct access modalities, including within the design process for the Green Climate Fund (GCF).
The paper begins by looking at what the term ‘direct access’ implies, what it is seeking to achieve, and how it has been defined to-date. The experience with this financing modality in other global funds is then reviewed. Based on this, a number of lessons learned are highlighted and several possible future arrangements for directly accessing international climate change-related funding are outlined.