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SIDBI-GCF $1 Billion Climate-Tech Fund for MSMEs

18 April 20251 min read
BANKING & FINANCESIDBI-GCF $1BillionClimate-Tech Fundfor MSMEs18 April 2025safalsetu.com

Why in the news

SIDBI was due to sign a deal with the Green Climate Fund to channel climate finance towards small businesses in mid-May 2025.

Key facts

  • Fund size $1 billion; SIDBI share $800 million, mostly mobilised from other sources with SIDBI anchoring; the rest from GCF and other global partners.
  • Aim: help MSMEs move to low-emission, climate-resilient technologies and encourage climate-tech innovation.

About the Green Climate Fund

A global climate finance fund set up by the UNFCCC in 2010 to help developing countries with mitigation and adaptation.

Significance for MSMEs

  • Easier green finance, clean energy adoption and sustainable practice.
  • Possible access to global carbon credits.
  • Supports India’s climate goals and energy transition.

Exam angle

  • Lender: SIDBI; beneficiaries: MSMEs.
  • GCF set up in 2010.

Test yourself

1. What is the total size of the climate-tech fund SIDBI planned with the Green Climate Fund?

The fund size is $1 billion; SIDBI's share is $800 million.

2. Under which framework was the Green Climate Fund established in 2010, per the SIDBI-GCF fund notes?

GCF was set up by the UN Framework Convention on Climate Change.

3. Which group is the main target of the SIDBI-GCF climate-tech fund?

The pact aims to support MSMEs' shift to low-emission technologies.

This topic is part of Daily Current Affairs 18 April 2025 (25 topics).

All topics of the dayDay quizApril 2025

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