Enviro News Asia, Kathmandu — The Green Climate Fund (GCF) and Nepal Investment Mega Bank (NIMB) have signed a grant agreement to strengthen climate financing in Nepal, marking a milestone partnership with one of the country’s largest commercial banks to mobilise increased domestic and international private capital for climate action.
The agreement represents GCF’s first Readiness and Preparatory Support grant awarded to a private-sector Direct Access Entity. The support will enhance NIMB’s institutional capacity to scale up financing for renewable energy, climate-resilient infrastructure, and other climate-smart investments aligned with Nepal’s national priorities.
The initiative underscores the catalytic role of local financial institutions in advancing country-driven climate goals and reflects GCF’s commitment to strengthening domestic climate finance markets. By empowering a national bank, the programme aims to demonstrate how private-sector actors can effectively mobilise capital and translate climate ambition into bankable projects.
Achala Abeysinghe, GCF Director of the Department of Investment Services, said the partnership would help catalyse diverse climate finance instruments while supporting job creation and small and medium-sized enterprises in Nepal. She described the agreement as a significant milestone in GCF’s engagement with NIMB and the country.
NIMB Chief Executive Officer Jyoti Prakesh Pandey stated that the agreement marks a new chapter in Nepal’s climate finance ecosystem, strengthening institutional readiness and enabling the private sector to deliver investible climate solutions.
Through the Readiness support, NIMB will build robust institutional systems, governance frameworks, and technical capacity to mobilise private and concessional capital, contributing to the effective implementation of Nepal’s climate commitments. (*)
